Question

describe four signs that help indicate when abc systems are likely to provide the most benefits. (select the four statements that apply.)

Answer 1

1. Significant amount of Indirect costs are allocated using one or two cost pools.

2. All or most indirect cost identified as output level unit costs.

3. Products make diverse demands on resources because of differences in volume process steps, batch size.

4. Operations staff has substantial disagreements with reported costs of manufacturing and marketing products and services.