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For companies that manufacture several products that use different proportions of manufacturing overhead resources, why...

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Accounting

For companies that manufacture several products that use different proportions of manufacturing overhead resources, why does the use of activity based costing provide more reliable product cost information for management decision-making than would traditional costing system that uses a single cost driver to allocate all manufacturing overhead activities/resources? Write your response in a professional manner as if you were responding to the president of your company.

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