____ Refers to the Assignment of Indirect Costs to Cost

question 24

Multiple Choice

____ refers to the assignment of indirect costs to cost objects.

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

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Definitions:

Deadweight Loss

A loss of economic efficiency that can occur when the equilibrium for a good or a service is not achieved, leading to a mismatch between supply and demand.

Tax

A non-negotiable pecuniary charge or alternate levy directed at a taxpayer by a government authority to underwrite the costs of government functioning and various public funding requirements.

Good

An item or product that can be used to satisfy a want or need.

Tax Revenue

The income that a government receives from taxes imposed on individuals and businesses.