Cost Allocation Involves

question 11

Multiple Choice

Cost allocation involves:

• A) Identifying a cost driver for each cost to be allocated.
• B) Calculating an allocation rate for each cost to be allocated.
• C) Multiplying the allocation rate by the weight of the cost driver.
• D) All of the answers are correct.

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Definitions:

Joints

Natural fractures or separations in rocks along which there has been no significant movement parallel to the surfaces of the fracture.

Anticline

A type of fold that is arch-like and has its oldest rocks at its core, formed by the compression and bending of Earth's crust.

Columnar Joints

Vertical, pillar-like structures that form in basalt and other rocks due to cooling and contraction.

Scratch Marks

Linear abrasions on a rock surface, often caused by the movement of a glacier and carrying debris across the rock.