Which of the Following Statements Is True About the Four

question 1

Multiple Choice

Which of the following statements is true about the four common methods for allocating joint costs?

• A)None of the methods will consistently allocate joint costs more accurately than another.
• B)It is impossible to determine whether one of the four methods may be more appropriate than another based on the production process.
• C)The market value at split-off method is always the least appropriate method for allocating joint costs.
• D)The net realizable value method is always the least reliable method for allocating joint costs.