Which of the Major Objectives of Allocation as Identified by the IMA

question 63

Multiple Choice

Which of the major objectives of allocation as identified by the IMA would NOT be relevant in a service organization?

• A)to obtain a mutually agreeable price
• B)to compute product-line profitability
• C)to predict the economic effects of planning and control
• D)all of the above are objectives of allocation

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Definitions:

Ownership Transfer

The act of transferring the title or rights of property from one party to another.

Journalize

The process of recording financial transactions in a company's accounting records or journals.

Transactions

Acts of buying or selling goods, services, or financial instruments.

Invests

The act of allocating resources, usually money, in the expectation of generating an income or profit.