[Solved] If the price of a stock exceeds the exercise price of a call, the call is said to be: A) naked. B) out of the money. C) in the money. D) covered. Support Department Cost Allocations: The distribution of overheads and expenses from support departments to operational departments based on criteria reflecting their use of support services. Modern Manufacturing Environment: Refers to the current state of manufacturing characterized by advanced technologies, lean production methods, and increased emphasis on sustainability. Highly Automated System: A system incorporating advanced technologies to minimize human intervention in its operations. Step-Down Method: A cost allocation method used in accounting to allocate indirect costs to different departments or products sequentially.