Which of These Is Not an Uncertainty When Allocating Support

question 9

Multiple Choice

Which of these is not an uncertainty when allocating support department costs?

• A) deciding whether to use dual or single rate allocations
• B) identifying the appropriate cost driver
• C) knowing which departments are support departments and which are operating departments
• D) selecting the most appropriate allocation method

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Definitions:

Solution

The value or values that satisfy an equation, inequality, or system of equations.

Absolute Value

The distance of a number from zero on the number line, disregarding whether it is positive or negative.

Set Notation

A system of symbols and terminology used to define and describe sets and their relationships in mathematics.

Absolute Value Inequality

An inequality that involves the absolute value of a variable or expression, comparing it to a number.