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  1. 1.Activity based costing is considered to be a traditional costing method.True False
  2. 2.Under ABC, indirect manufacturing costs are predominantly assigned on the basis of direct machine hours.True False
  3. 3.Which of the following would not be included in a product’s cost for inventory valuation for the financial statements?Factory Supplies Quality Control Interest Expense
  4. 4.Which would be the least favorable basis for allocating manufacturing overhead for a factory with automated equipment and a significant variation of services by its indirect labor?ABC Direct Labor Hours Machine Hours

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