When Assigning Indirect Costs to a Cost Object,an Ideal Cost-Allocation

question 81

Multiple Choice

When assigning indirect costs to a cost object,an ideal cost-allocation base measures ________.

• A) the proportion of indirect costs to direct costs
• B) the extent a particular cost is caused by a cost object
• C) multiple cost drivers
• D) the proportion of direct costs to indirect costs

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Definitions:

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