Explain why must not the treasury operate on a bonus plan that issues compensation based on unusually high rates of return on investment, nor for gains from active speculation in other currencies.

Which of the following statements are false regarding activity-based costing? non-manufacturing costs are important to include when calculating the cost of each product. costs are allocated based on a pre-determined overhead rate. transitioning from traditional costing methods to activity-based costing can be complicated and costly. activity-based costing follows the same basic calculation methods as traditional costing approaches. none of the above