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012332 consuming consuming how costs are

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Unformatted text preview: o very time very ime ! "#$%&'()*+,-.//%01%2332 consuming. consuming. How Costs are Treated Under Activity–Based Costing group Unit-Level Activity Batch-Level Activity Manufacturing companies typically combine their activities into five fi classifications. Product-Level Activity Organizationsustaining Activity Customer-Level Activity LO 1 Classification of Activities Unit-level activities are performed each time a unit is produced. For example, providing power unit is produced. For example, providing power to run processing equipment would be a unitlevel activity. activity. Batch-level activities are performed each time a ti batch is handled or processed, regardless of how many units are in the batch. For example, it th setting up equipment and shipping customer orders are batch-level activities. Classification of Activities Product-level activities relate to specific products and must be carried out regardless of how many batches are run or u...
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