Question: A sign that an ABC costing system may pay dividends is your company has a large percentage of indirect costs allocated using one cost pool
A sign that an ABC costing system may pay dividends is your company has a large percentage of indirect costs allocated using one cost pool your manufacturing process involves a large number of batch activities you make a variety of products - some relatively simple to manufacture - some relatively complicated to manufacture experienced front line managers constantly question the accuracy of indirect cost allocation to the various products all of the listed answers apply
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