The Assignment of Indirect Costs to Cost Objects Is Referred

question 150

Multiple Choice

The assignment of indirect costs to cost objects is referred to as:

• A)Allocation
• B)Direct tracing
• C)Physical observation
• D)Cost management

---

Definitions:

Treasury Stock

Shares that the issuing company initially distributed and then bought back, decreasing the total number of shares available for trade in the market.

Price/Earnings Ratio

A financial ratio that compares a company's share price to its earnings per share, indicating the value that investors are ready to pay for each dollar of earnings.

Market Price

The current price at which an asset or service can be bought or sold.

Working Capital

The dollar difference between total current assets and total current liabilities.