materials or setting up production. A cost driver “is any factor or activity that has a direct cause-effect relationship with the resources consumed” ( (Kimmel, Weygandt, & Kieso, 2011, p. 891). The example above gives insight on how companies make decision about the labor and production they will need according to their overhead. According to the research and development activities in BYP 17-2 they divided the activities into four pools market analysis, product design, product development, and prototype…
Words 529 - Pages 3