What Are Some of the Problems Which the Use of Common

question 12

Multiple Choice

What are some of the problems which the use of Common Costs raises for Cost of Service Pricing, particularly the Average Cost approach?

• A) Rates based upon average or fully allocated cost makes it necessary to apportion common costs by some arbitrary means.
• B) Motor carriers are structured such as to make allocation extremely difficult.
• C) Rail carriers have difficulty defining their common costs as they have wide spread geographic operations
• D) All transport firms have significant difficulty with cost concepts due the very nature of their operations

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Definitions:

HR Practice

Encompasses the policies, procedures, and activities implemented by an organization to manage its human resources effectively.

External Human Resource Sources

External methods or channels through which organizations recruit or hire new employees, such as job boards or recruitment agencies.

Internal Human Resource Sources

Recruiting methods that involve filling job vacancies with current employees or individuals already known to the organization, such as through promotions or internal transfers.

HR Demand

The projected requirement for human resources in an organization based on future business activities, strategic goals, and workforce planning.