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Why is the traditional approach to indirect cost allocation less expensive to implement than the activity-based costing approach?

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Why is the traditional approach to indirect cost allocation less expensive to implement than the activity-based costing approach?

Answered Same Day Dec 22, 2021

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David answered on Dec 22 2021
114 Votes
Description
Why is the traditional approach to indirect cost allocation less expensive to implement than the
activity-based costing approach?
Yes .The traditional approach to indirect cost allocation is less expensive to implement than the
Activity based costing approach.
Because the traditional approach to indirect cost allocation uses only the following volume based
cost drivers such as
1. Direct Labour hours
2. Direct...
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