Semidirect and Indirect Expenses Are Treated the Same for Accounting

question 90

Multiple Choice

Semidirect and indirect expenses are treated the same for accounting purposes.At the end of the accounting period they are

• A) recorded by the department they relate to.
• B) allocated.
• C) charged to headquarters (corporate)general expenses.
• D) treated as direct expenses.

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Definitions:

Tax Freedom Day

A symbolic day representing when a nation's taxpayers have collectively earned enough income to pay the year's total tax bill.

Marginal Tax Rate

The rate at which an additional dollar of income is taxed, reflecting the percentage of each additional dollar that is paid in tax.

Transfer Payments

Payments made by the government to individuals, without the government receiving any goods or services in return, such as welfare payments and social security benefits.

Exhaustive

Thorough and comprehensive in approach or scope.