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Unformatted text preview: item, by direct or indirect allocations. In order to implement a cost accounting system, Connie needs to decide whether to use the traditional cost accounting system, which only allocates production indirect costs, or the much more costly Activity-based costing system (ABC). ABC methods provide much more accurate information by assigning costs to activities based on actual usage. Horngren, C.T., Sundem, G.L., Stratton, W.O., Burgstahler, D., & Schatzberg, J. (2008). Introduction to management accounting (14th ed.). Upper Saddle River, NJ: Pearson Prentice Hall. White, M. (n.d.). Job Order Costing. Retrieved February 24, 2011, from http://www.middlecity.com/ch17.shtml...
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- Spring '09
- Cost Accounting, Aunt Connie