Explain the activity-based costing system

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Reference no: EM13203998

Question:

a Explain the activity-based costing (ABC) system and its limitations. (word limit 150)

b A company can sell its products for $20 each. The variable cost of each product is $10.

Fixed costs are $20 000. Find:

The break-even sales volume.

ii The sales volume needed to make a profit of $30 000.

Reference no: EM13203998

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