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Devry ACCT 244 Week 6 Discussions Latest DQ1
Activity-Based Costing (graded) Sam and Dave own a small manufacturing company that makes all types of hunting gear – from decoys to garments. Sam is concerned that the products are not being charged the correct amount of overhead, so he suggests that they use ABC for allocating overhead. Dave thinks they are too small of a business to use ABC, and it will cost more than it is worth. How would you advise Sam and Dave? DQ2
Costing Ethics (graded) Springfield Corporation is contemplating introducing an ABC system next year. Some of the product managers have heard that ABC will cause their products to appear to cost more to manufacture and are fighting the change. Is it ethical for the managers to fight the switch?
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