Question: Provide a total cost estimate using the current traditional costing system. 2. Provide a total cost estimate using the activity based costing system proposed by
Provide a total cost estimate using the current traditional costing system. 2. Provide a total cost estimate using the activity based costing system proposed by the ABC implementation team. 3. Explain to Jeri which cost estimate should be used to develop her bid, and why. 4. Use activity based management to respond to Jeris question about process inefficiencies driving up costs. 5. Evaluate the ABC system as it currently stands. Explain what specific change(s) you recommend the ABC implementation team make, and how that could affect your cost estimates.
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