Implement an ABC system in Microsoft Corporation to allocate R&D costs across software projects.

Determine cost drivers related to coding hours, testing hours, and customer support requests.

Allocate costs to different software projects based on development complexity and user base.

Analyze project profitability using ABC allocations and recommend strategies to enhance innovation and customer support.

Cost Drivers	Allocation Basis	Annual Cost Allocation ($)
Coding Hours	Number of hours	$15,000,000
Testing Hours	Number of hours	$10,000,000
Customer Support Requests	Number of requests	$5,000,000