Reference no: EM132572018

Question 1: What selling costs and general and administrative costs might be allocated to products using activity-based costing? Why do some managers prefer allocating these costs to products?

Question 2: What are service departments? Why do some managers allocate service department costs to production departments?

Question 3: Describe the four categories included in the hierarchy of costs.

Question 4: What is the difference between a facility-level cost and a unit-level cost?

Question 5: How does the hierarchy of costs help managers allocate overhead costs?

Question 6: Describe the four categories related to the costs of quality. How might the allocation of quality costs to these four categories help managers?