Activity based costing:
a. eliminates nonvalue-adding activities, increases activity occurre...
Activity based costing:
a. eliminates nonvalue-adding activities, increases activity occurrences, and increases the rate of return.
b. corrects the distortions built into product costing by the way that direct costs are allocated.
c. eliminates nonvalue-adding activities; reduces activity occurrences, and reduces the cost driver rate.
d. corrects the distortions built into product costing by the way that the learning curve is applied to direct labor costs.
e. is important to cost accountants, but has little practical use for buyers
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