How does Lean Production reduce or eliminate the difference in reported net operating income between absorption and variable costing?

What are unit-level, batch-level, product-level, customer-level, and organization- sustaining activities?

Why are top management support and cross-functional involvement crucial when attempting to implement an activity-based costing system?

When activity-based costing is used, why do manufacturing overhead costs often shift from high-volume products to low-volume products?

Airlines sometimes offer reduced rates during certain times of the week to members of a businessperson?s family if they accompany him or her on trips. How does the concept of relevant costs enter into the decision by the airline to offer reduced rates of this type?

1. 2. 3. 4. 5. How does Lean Production reduce or eliminate the difference in reported net operating income between absorption and variable costing? What are unit-level, batch-level, product-level, customer-level, and organizationsustaining activities? Why are top management support and cross-functional involvement crucial when attempting to implement an activity-based costing system? When activity-based costing is used, why do manufacturing overhead costs often shift from high-volume products to low-volume products? Airlines sometimes offer reduced rates during certain times of the week to members of a businessperson's family if they accompany him or her on trips. How does the concept of relevant costs enter into the decision by the airline to offer reduced rates of this type? 1. 2. 3. 4. 5. How does Lean Production reduce or eliminate the difference in reported net operating income between absorption and variable costing? What are unit-level, batch-level, product-level, customer-level, and organizationsustaining activities? Why are top management support and cross-functional involvement crucial when attempting to implement an activity-based costing system? When activity-based costing is used, why do manufacturing overhead costs often shift from high-volume products to low-volume products? Airlines sometimes offer reduced rates during certain times of the week to members of a businessperson's family if they accompany him or her on trips. How does the concept of relevant costs enter into the decision by the airline to offer reduced rates of this type? #4 Why are top management support and cross-functional involvement crucial when attempting to implement an activity-based costing system? Upper support Management support and cross -functional involvement crucial when attempting to implement an activity-based costing system Upper management support this system because all functional departments gets affected from changes in the traditional costing system to activity based costing system, and without the support of upper management it is impossible to implement the necessary changes., managers support this process because of its intimate knowledge of the operation, therefore managers automatically embrace the system in order to get results. 2 Activity based costing changes some of the key measures that manager's use for their decisions making and for the evaluating all departments' performance. the best way to helps to motivate all employees to embrace the need to implement ABC. Also by tapping into the knowledge of cross-functional involvement Managers lessens their resistance to ABC because they feel involved in the implementation 3 The organization needs knowledge of many areas of the organization's overall operation system to design ABC system, For example -identification Activity and its cost driver. Upper Management support is required to motivate other employees to follow ABC system, plus Cross-functional employees are important because they possess knowledge of operations that is needed to design an effective ABC system. If upper managers do not support the ABC system and continue to use the tridational system, other employees will also tend to think that ABC is not important and they will also not follow ABC system. This is why upper management support and cross functional involvement are crucial when attempting ABC system. #4 Why are top management support and cross-functional involvement crucial when attempting to implement an activity-based costing system? Upper support Management support and cross -functional involvement crucial when attempting to implement an activity-based costing system Upper management support this system because all functional departments gets affected from changes in the traditional costing system to activity based costing system, and without the support of upper management it is impossible to implement the necessary changes., managers support this process because of its intimate knowledge of the operation, therefore managers automatically embrace the system in order to get results. 2 Activity based costing changes some of the key measures that manager's use for their decisions making and for the evaluating all departments' performance. the best way to helps to motivate all employees to embrace the need to implement ABC. Also by tapping into the knowledge of cross-functional involvement Managers lessens their resistance to ABC because they feel involved in the implementation 3 The organization needs knowledge of many areas of the organization's overall operation system to design ABC system, For example -identification Activity and its cost driver. Upper Management support is required to motivate other employees to follow ABC system, plus Cross-functional employees are important because they possess knowledge of operations that is needed to design an effective ABC system. If upper managers do not support the ABC system and continue to use the tridational system, other employees will also tend to think that ABC is not important and they will also not follow ABC system. This is why upper management support and cross functional involvement are crucial when attempting ABC system. #4 Why are top management support and cross-functional involvement crucial when attempting to implement an activity-based costing system? Upper support Management support and cross -functional involvement crucial when attempting to implement an activity-based costing system Upper management support this system because all functional departments gets affected from changes in the traditional costing system to activity based costing system, and without the support of upper management it is impossible to implement the necessary changes., managers support this process because of its intimate knowledge of the operation, therefore managers automatically embrace the system in order to get results. 2 Activity based costing changes some of the key measures that manager's use for their decisions making and for the evaluating all departments' performance. the best way to helps to motivate all employees to embrace the need to implement ABC. Also by tapping into the knowledge of cross-functional involvement Managers lessens their resistance to ABC because they feel involved in the implementation 3 The organization needs knowledge of many areas of the organization's overall operation system to design ABC system, For example -identification Activity and its cost driver. Upper Management support is required to motivate other employees to follow ABC system, plus Cross-functional employees are important because they possess knowledge of operations that is needed to design an effective ABC system. If upper managers do not support the ABC system and continue to use the tridational system, other employees will also tend to think that ABC is not important and they will also not follow ABC system. This is why upper management support and cross functional involvement are crucial when attempting ABC system