You are a manager at glass inc.—a mirror and window supplier. recently, you conducted a study of the production process for your single-side encapsulated window. the results from the study are summarized in the following table and are based on the 8 units of capital currently available at your plant. each unit of labor costs $60, each unit of capital is $20, and your encapsulated windows sell for $12 each. given this information, what is your optimal labor and output decision? labor: output: given these decisions, what will be your profit? table content ( labor - output): 0-0, 1-10, 2-30, 4-80, 5-90, 6-95, 7-95, 8-90, 9-80, 10-60, 11-30

Activity-based costing (abc) is not truly a cost collection mechanism as much as it is an inventory valuation method. the main purpose for implementing an activity-based cost system is to try to overcome some of the cost distortions that occur in traditional costing from product differences when there are variations in size and complexity. however, one of the disadvantages of utilizing abc is that the additional information gathering necessary to implement costing with that level of detail might be beyond the reach of some companies with resource or financial constraints. with this in mind, what kinds of industries or companies do you think would benefit most from using activity-based costing and why? in designing or modifying an accounting system to capture appropriate costs for abc, what considerations do you think would need to be made?