The reason for more than double of customer margin under activity based costing when the number of units are doubled. Introduction: Activity based costing is standing for the ABC. It is that method in which organization identifies the activities and assign the cost to each resource according to the use of them.

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Answer 1

Question

Chapter 7, Problem 1AE

a.

To determine

To identify: The reason for more than double of customer margin under activity based costing when the number of units are doubled.

Introduction: Activity based costing is standing for the ABC. It is that method in which organization identifies the activities and assign the cost to each resource according to the use of them.

b.

To determine

To identify: The reason of double loss of traditional cost margin.

c.

To determine

The method which gives the accurate picture regarding the effect on profit and the number of units ordered increases.

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Answer 2

Question

Chapter 7, Problem 1AE

a.

To determine

To identify: The reason for more than double of customer margin under activity based costing when the number of units are doubled.

Introduction: Activity based costing is standing for the ABC. It is that method in which organization identifies the activities and assign the cost to each resource according to the use of them.

b.

To determine

To identify: The reason of double loss of traditional cost margin.

c.

To determine

The method which gives the accurate picture regarding the effect on profit and the number of units ordered increases.

Expert Solution & Answer

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Answer 3

Question

Chapter 7, Problem 1AE

a.

To determine

To identify: The reason for more than double of customer margin under activity based costing when the number of units are doubled.

Introduction: Activity based costing is standing for the ABC. It is that method in which organization identifies the activities and assign the cost to each resource according to the use of them.

b.

To determine

To identify: The reason of double loss of traditional cost margin.

c.

To determine

The method which gives the accurate picture regarding the effect on profit and the number of units ordered increases.

Expert Solution & Answer

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Check out a sample textbook solution

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Answer 4

Question

Chapter 7, Problem 1AE

a.

To determine

To identify: The reason for more than double of customer margin under activity based costing when the number of units are doubled.

Introduction: Activity based costing is standing for the ABC. It is that method in which organization identifies the activities and assign the cost to each resource according to the use of them.

b.

To determine

To identify: The reason of double loss of traditional cost margin.

c.

To determine

The method which gives the accurate picture regarding the effect on profit and the number of units ordered increases.

Expert Solution & Answer

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Check out a sample textbook solution

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Answer 5

Chapter 7, Problem 1AE

a.

To determine

To identify: The reason for more than double of customer margin under activity based costing when the number of units are doubled.

Introduction: Activity based costing is standing for the ABC. It is that method in which organization identifies the activities and assign the cost to each resource according to the use of them.

b.

To determine

To identify: The reason of double loss of traditional cost margin.

c.

To determine

The method which gives the accurate picture regarding the effect on profit and the number of units ordered increases.

Answer 6

Chapter 7, Problem 1AE

a.

To determine

To identify: The reason for more than double of customer margin under activity based costing when the number of units are doubled.

Introduction: Activity based costing is standing for the ABC. It is that method in which organization identifies the activities and assign the cost to each resource according to the use of them.

Answer 7

Chapter 7, Problem 1AE

a.

To determine

To identify: The reason for more than double of customer margin under activity based costing when the number of units are doubled.

Introduction: Activity based costing is standing for the ABC. It is that method in which organization identifies the activities and assign the cost to each resource according to the use of them.

Answer 8

b.

To determine

To identify: The reason of double loss of traditional cost margin.

Answer 9

b.

To determine

To identify: The reason of double loss of traditional cost margin.

Answer 10

c.

To determine

The method which gives the accurate picture regarding the effect on profit and the number of units ordered increases.

Answer 11

c.

To determine

The method which gives the accurate picture regarding the effect on profit and the number of units ordered increases.

Answer 12

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Answer 13

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Answer 14

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Answer 15

Ch. 7.A - EXERCISE 7A-1 Time-Driven Activity-Based Costing...Ch. 7.A - EXERCISE 7A-2 Time-Driven Activity-Based Costing...Ch. 7.A - EXERCISE 7A-3 Time-Driven Activity-Based Costing...Ch. 7.A - PROBLEM 7A-4 Time-Driven Activity-Based Costing LO...Ch. 7.A - PROBLEM 7A-5 Time-Driven Activity-Based Costing LO...Ch. 7 - Prob. 1Q Ch. 7 - Prob. 2Q Ch. 7 - Prob. 3Q Ch. 7 - What are unit-level, batch-level, product-level,...Ch. 7 - What types of costs should not be assigned to...

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To identify: The reason of double loss of traditional cost margin.

The method which gives the accurate picture regarding the effect on profit and the number of units ordered increases.

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