Using the Step Method of Allocating Service Department Costs,the Costs

question 32

Multiple Choice

Using the step method of allocating service department costs,the costs are allocated to:

• A) service departments only.
• B) operating departments only.
• C) both service departments and operating departments.
• D) neither service departments nor operating departments.

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Definitions:

Lateral

Pertaining to the side; situated at, proceeding from, or directed to the side.

Distal

A term used to describe a location farther from the point of origin or attachment, often used in anatomy to describe the position of body parts.

Negative Feedback

A regulatory mechanism in which a stimulus causes an opposite output in order to maintain an optimal level of whatever is being regulated.

Effector

An organ or cell that acts in response to a stimulus, often referring to muscles or glands responding to neural signals.