When Using the Direct Method Why Would Companies Choose to Perform

question 1

Multiple Choice

When using the direct method why would companies choose to perform the allocation with predetermined rates?

• A)To better communicate the often-forgotten cost of support services to department managers
• B) To make the budgeting process easier for managers
• C) To influence a department manager's hiring policies
• D) To persuade company executives to cut costs

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Definitions:

Relative Concept

An idea or measurement that is understood in relation or comparison to something else, not absolute.

Absolute Concept

A theory or principle that is considered universally valid or applicable, without any conditions or exceptions.

Inner-City Communities

Urban neighborhoods that may be characterized by higher-density housing, lower income levels, and often, but not always, higher rates of crime and poverty.

Social Organization

The structured arrangement of relationships and roles within a society, guiding how members interact and behave.