Answer the following questions using the information below:
Products S5 and CP8 each are assigned $50.00 in indirect costs by a traditional costing system.An activity analysis revealed that although production requirements are identical,S5 requires 45 minutes less set-up time than CP8.
-Once an ABC system has been set up,these calculations are routine and the management accountant,as a member of the management team,can computerise them with relatively little effort.

Question

Quizplus · Accepted Answer

The information states that once an ABC system has been set up, the calculations are routine and can be computerized with relatively little effort. This implies that the management accountant can easily perform the calculations using the ABC system. Therefore, the statement is true.

Answer the Following Questions Using the Information Below