business business

1.Why is direct labor a poor base for allocating overhead in many companies?

2.What types of costs should not be assigned to products in an activity-based costing system?

3.Why are there two stages of allocation in activity-based costing?

4.When activity-based costing is used, why do manufacturing overhead costs often shift from high-volume products to low-volume products?

5.Why is the activity-based costing described in this chapter unacceptable for external financial reports?

100 words each