Encoding Is

question 98

Multiple Choice

Encoding is:

• A)recalling information.
• B)recognizing information.
• C)representing information.
• D)remembering information

Recognize the importance of selecting appropriate cost drivers in the allocation of costs.

Understand how indirect and direct costs are allocated within departments and across products.

Learn how to compute allocation of maintenance, advertising, and other indirect costs based on different bases such as square footage and sales values.

Differentiate between service, cost, and profit centers within an organization.

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Definitions:

Capacity

The maximum amount that something can contain or produce; in a business context, it often refers to the maximum output or production ability.

Collateral

An asset that a borrower offers to a lender as security for a loan.

Capital

Refers to financial assets, including funds held in deposit accounts and investments, but can broadly include anything that can enhance a person’s or entity’s ability to generate value.

Character

In finance, part of credit analysis that evaluates a borrower's reputation or track record in repaying debts.