If substantial batch-level or product-level costs exist, then overhead allocation based on a measure of volume such as direct labor-hours alone: must be used for external financial reporting since activity-based costing cannot be used for external reporting purposes. will systematically overcost high-volume products and undercost low-volume products. will systematically overcost low-volume products and undercost high-volume products. is a key aspect of the activity-based costing model.

What is the difference between an "i" statement and a "you" statement? a. the "i" statement is non-confrontational b. the "you" statement is non-confrontational c. the "i" statement is argumentative d. the "you" statement is neutral in tone select the best answer from the choices provided

Performance bicycle company makes steel and titanium handle bars for bicycles. it requires approximately 1 hour of labor to make one handle bar of either type. during the most recent accounting period, barr company made 7,700 steel bars and 2,300 titanium bars. setup costs amounted to $35,000. one batch of each type of bar was run each month. if a single company-wide overhead rate based on direct labor hours is used to allocate overhead costs to the two products, the amount of setup cost assigned to the steel bars will be:

Why is efficiency an important economic goal?