Hi,
I'd like to ask whether the statement below is true and why.
Where overheads are a relatively small proportion of total costs and where direct labour recovery rates are low there's little point of adopting ABC.
Thanks.
ACCA Forums
PMActivity based costing
True.
Thanks guys for the answer. :)
Yea I don''t understand the "direct labour recovery rates" part too.
For those who do, could you please explain?
Thanks!
Recovery rates maybe absorption rates ?
abc cost a lot of effort and time. Cost vs benefit
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