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1) A top-selling product might actually result in losses for the company. |
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2) Companies that undercost products will most likely lose market share. 3) If companies increase market share in a given product line because their reported costs are less than their actual costs, they w |
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ill become more profitable in the long run. 4) As product diversity and indirect costs increase, it is usually best to switch away from an activity based cost system to a broad averaging system. |
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