WST Corporation Uses Actual Amounts to Calculate Support Department Cost

question 99

Multiple Choice

WST Corporation uses actual amounts to calculate support department cost allocation rates. A disadvantage of this practice is:

• A) Managers are held responsible for actual usage.
• B) Support charges are known in advance by managers.
• C) If one department uses much less of a support department's services than others, the support charge to remaining departments will increase to compensate.
• D) Managers cannot measure the value of support services used.

Analyze the impact of tax laws on personal financial planning.

Understand different types of taxes and deductions that affect personal finance.

Identify strategies to minimize taxes owed, including the timing of income receipt and deductions.

Recognize the characteristics and benefits of different savings and retirement plans.

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Definitions:

Vocational Interests

Preferences and inclinations towards certain professions or occupational activities.

Vocational Fit

The degree to which an individual's interests, skills, and values align with a particular career or job.

Openness to Experience

A personality trait that describes the extent to which an individual is imaginative, open-minded, and seeks new experiences.

Higher Job Performance

Refers to the degree to which an employee exceeds the job requirements in terms of quality, quantity, efficiency, and effectiveness.