Which of the following is not a “red flag” indicating problems with an organization’s costing system?

Which of the following is not a “red flag” indicating problems with an organization’s costing system?1. Goods and services are complex and require many different processes and inputs2. Different departments within the company believe that the costs identified for producing goods and providing services are not accurate3. Standard high-volume goods and services show significant profits4. Indirect costs are significant in proportion to direct costs