What is activity-based costing

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Question: 1. What is the difference between operating departments and service departments?

2. What is activity-based costing? What is its goal?

3. Identify at least four typical cost pools for activity-based costing in most organizations.

4. What company circumstances especially encourage use of activity-based costing?

5. What are two main goals in managerial accounting for reporting on and analyzing departments?

6. Is it possible to evaluate a cost center's profitability? Explain.

Reference no: EM131538742

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