List and describe four potential problems with a


Question #1

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

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

Question #2

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

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

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Managerial Accounting: List and describe four potential problems with a
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