All need to be Answered and solved $($ All in steps$)$

Discuss key features $($with appropriate example$)$ of ABC method

Discuss key advantages of ABC method as compared to traditional costing

approach.

Include calculation of full cost per unit of "Ballet shoes" using traditional costing

approach and activity$-$based costing $("$ABC$")$ approach respectively. Compare the

results, and discuss the possible reason$/$reasons for that difference, and what would

be negative outcome$/$outcomes if the company choose to continue with traditional

costing approach.

Note:

The more relevant the points you cover in your report, the higher will be the marks awarded.

When writing your report, you have to assume that some directors have no knowledge of

accounting and finance. So$,$ provide as much detail as you can $($including definition, etc.$).1$ mark

is awarded to correct report format. $12$ marks are awarded to computation of full cost per unit of

"Ballet shoes" using traditional costing approach and $8$ marks are awarded to computation of full

cost per unit of "Ballet shoes" using activity$-$based costing $("$ABC$")$ approach. $2$ marks are

awarded to your comments on traditional costing approach and ABC results and reason$/$reasons

for that difference, and negative outcome$/$outcomes if the company choose to continue with

traditional costing approach. Finally, $7$ marks are awarded to key features and key advantage of

ABC method over traditional costing approach.