Imagine
that the CFO of your manufacturing company is seeking your help regarding a decision
to switch to an Activity Based Costing system from their traditional Absorption
Costing system due to numerous complaints from managers about inaccurate
product costs. He has invited you to attend the next executive management
meeting to unpack the differences between these two costing systems so they can
make an informed decision.Create an original
presentation comparing these two costing methods. He has asked you to keep it
brief, professional, and easy to understand. He wants to see which costs will
be affected, but he does not want to see too many confusing numbers. Make
it interesting and easy to understand. Without the full support of top
management, the CFO says this new costing method will be doomed to fail. Your presentation should
be recorded as though you are in the board room presenting–do not just read
the slides! Include at least one costing example for each method. Clearly state
your recommended method in your presentation. Microsoft PowerPoint has
excellent design templates to make a professional presentation. Your
presentation should include either notes of what you would say in a live
presentation, or recorded narration.
