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There are various approaches in regards to how costs are allocated and each approach has its own advantages and disadvantages. The main benefit of ABC is that it provides more accurate cost allocation data and reporting. If you were a manager of an organization and if you have to choose one between ABC vs. Traditional Costing for your organization, what approach would you prefer and why?.

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There are various approaches in regards to how costs are allocated and each approach has its own advantages and disadvantages. The main benefit of ABC is that it provides more accurate cost allocation data and reporting. If you were a manager of an organization and if you have to choose one between ABC vs. Traditional Costing for your organization, what approach would you prefer and why?

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  • 1. There are various approaches in regards to how costs are allocated and each approach has its own advantages and disadvantages. The main benefit of ABC is that it provides more accurate cost allocation data and reporting. If you were a manager of an organization and if you have to choose one between ABC vs. Traditional Costing for your organization, what approach would you prefer and why?