All of the Following Statements About Service Department Costs Are

question 48

Multiple Choice

All of the following statements about service department costs are true except:

• A) Service department costs include the costs of providing services to other departments within an organisation.
• B) Service department costs are only allocated to producing departments.
• C) Service department costs should be allocated using an allocation base or cost driver related to the costs incurred.
• D) Service department costs do not include the costs of providing services to external customers.

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Definitions:

Stele

The cylinder in the center of roots and stems that contains the vascular tissue; also called vascular cylinder.

Pericycle

A layer of cells found just inside the endodermis in plant roots, involved in the formation of lateral roots and secondary growth.

Endodermis

The innermost layer of cells in the root cortex, serving as a selective barrier that regulates the passage of substances from the soil into the vascular cylinder.

Pericycle

A layer of cells just inside the endodermis in plant roots, which can give rise to lateral roots, contributing to the plant's growth and development.