Under the Incremental Method of Allocating Common Costs

question 58

Multiple Choice

Under the incremental method of allocating common costs

• A)the parties are interested in being viewed as primary users.
• B)each party bears a proportionate share of the total costs in relation to their individual stand-alone costs.
• C)fairness and equity are emphasized.
• D)there is a disincentive to be titled the primary user.
• E)no ranking of users is required.

---

Definitions:

Federal Trade Commission

The independent agency of the United States government responsible for enforcing civil antitrust law and promoting consumer protection.

Ethical Issue

A problem or situation that requires a person or organization to choose between alternatives that must be evaluated as right (ethical) or wrong (unethical).

Early Majority

A segment of consumers in the technology adoption lifecycle that adopts new products after a cautious review, following the innovators and early adopters.

Product Design

The process of envisioning and planning the creation of objects, systems, or services that solve specific problems or meet particular needs.