Difference between transaction drivers and duration drivers

Reference no: EM1378079

Question 1:

a) List and explain four potential problems with a "traditional" overhead allocation system.

b) List and explain four "red flags" that may indicate you should believe revising your overhead allocation system.

Question2:

a) Explain the differences between unit-related, batch-related, and product-sustaining activities. Give one case of each type of activity.

b) Explain the difference between transaction drivers and duration drivers. When could one type be preferred over the other?

Reference no: EM1378079

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