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Direct Method
A method for allocating service department costs directly to producing departments without intermediate allocations among service departments.
Operating Activities
Activities that are directly related to the running of a business and the production of its goods and services, affecting the company's cash flow.
Direct Method
In financial accounting, refers to a way of allocating service department costs directly to producing departments without intermediate allocations.
Cash Basis
A bookkeeping practice in which income and outgoings are documented at the point of actual transaction, instead of when they are accrued.
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