4.  Glaser Health Products is interested in using activity-based costing to identify as many costs as  possible with the products. These...

4.  Glaser Health Products is interested in using activity-based costing to identify as many costs as 

possible with the products. These costs will be used for planning and control decisions rather than for 

inventory valuation. The controller decided that all operation costs will be related to products but only 

those sales and administrative costs that are classified as unit-level, batch-level, or product-level costs 

should be related to products. Using preliminary stage cost drivers, explain how individual items of 

costs will be traced to activity groupings. 

5.  Using primary stage cost drivers, show how the costs should be related to products. 

6.  Explain why it is necessary to use preliminary stage and primary stage cost drivers.