Question: 10. In general, what would one expect to occur when cross- subsidization is eliminated with the use of activity based costing (ABC)? A. That Lower-

10. In general, what would one expect to occur when cross- subsidization is eliminated with the use of activity based costing (ABC)?

A. That Lower- volume products will be determined as being unprofitable.

B. That Lower volume products pick up more of their fair share of overhead costs.

C. That higher volume products will be determined as being unprofitable.

D. That higher volume products pick up more of their fair share of overhead costs.

*Please Explain why you choose your answer. Thanks!

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