Question: 1) Discuss the difference between traditional costing and activity-based costing. 2) Explain the benefits and limitations of activity-based costing. 3) Explain why a Cost driver

1) Discuss the difference between traditional costing and activity-based costing.

2) Explain the benefits and limitations of activity-based costing.

3) Explain why a Cost driver must accurately measure the actual consumption of the activity by the various products. What if the cost driver fails? What could be the results?

4) What are the advantages of Multiple Cost Pools?

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