Discussion: "Time-Driven Activity-Based Costing (ABC)"
Please respond to the following:
• Analyze the major benefits and major weaknesses of traditional Activity-Based Costing (ABC) in determining accurate overhead costs over a time-driven ABC system. Provide a rationale for your response.
• Suggest the manner in which a business can achieve a competitive advantage in the marketplace through the use of ABC. Provide two reasons to convince senior management that they should implement an ABC system.