Question: Why do some companies use separate work-in-process inventory and manufacturing overhead accounts for each activity in an ABC system? a. Allocate overhead based on activity

Why do some companies use separate work-in-process inventory and manufacturing overhead accounts for each activity in an ABC system? a. Allocate overhead based on activity levels for each specific activity. b. Simplify the tracking of actual overhead costs. c. Allocate overhead based on a single plantwide overhead rate. d

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