Compare the activity-based costs among various divisions

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Question: ABC and Benchmarking Suppose that AT&T used benchmarking to compare the activity-based costs among its various divisions. As part of its benchmarking efforts, AT&T compared the activity cost per driver unit for similar activities and cost per customer for its billing departments in various geographic regions. For example, AT&T compared the costs at the Youngstown area billing department with the similar costs in the Los Angeles area. Are these meaningful comparisons? Why or why not?

Reference no: EM131816251

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