Absorption costing and performance measures

Reference no: EM13540553

"Absorption Costing and Performance Measures" Please respond to the following:

Create a situation for determining performance evaluations and bonuses where absorption-costing operating income is used both to increase income and to influence performance measures in use.
From the e-Activity, evaluate the benefits of variable costing in eliminating opportunities for adverse incentives that absorption costing can create, indicating how a company may leverage these benefits.

Reference no: EM13540553

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Absorption costing and performance measures : Absorption Costing and Performance Measures

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