Which of the Following Statements About the Direct/indirect Cost Classification

question 134

Multiple Choice

Which of the following statements about the direct/indirect cost classification is NOT true?

• A)Indirect costs are always traced.
• B)Indirect costs are always allocated.
• C)The design of operations affects the direct/indirect classification.
• D)The direct/indirect classification depends on the choice of cost object.

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Definitions:

Cellulitis

An infection of the skin and tissues beneath the skin, often characterized by redness, pain, and swelling.

Subcutaneous

Located or applied under the skin, often referring to the layer of fat and tissue beneath the skin's surface.

Ingestion

The act of taking food, drinks, or other substances into the body through the mouth.

Absorption

The process by which substances are taken up into the bloodstream, particularly in the context of nutrients from the digestive system.