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Unformatted text preview: seems to sell itself. 5. We would suggest using Acitvity-based costing system. The ABC system are likely to yield the most benefits when indirect costs are high percentage of total costs or when products and services make diverse demand on indirect resource. The main costs of ABC systems are the difficulties of the measurements necessary to implement and update the system. (Horngren) I cant tell exactly which strategy should we use to improve profit. Could you please complete the answer? Thank you so much~~...
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- Fall '10