Cost Pools Should Be Charged to Responsibility Centers by Using

question 77

Multiple Choice

Cost pools should be charged to responsibility centers by using:

• A) budgeted amounts of allocation bases because the cost allocation to one responsibility center should influence the allocations to others.
• B) budgeted amounts of allocation bases because the cost allocation to one responsibility center should not influence the allocations to others.
• C) actual amounts of allocation bases because the cost allocation to one responsibility center should influence the allocations to others.
• D) actual amounts of allocation bases because the cost allocation to one responsibility center should not influence the allocations to others.
• E) some other approach.

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Definitions:

Processing Time

The duration taken to complete a specific task or operation, often considered in manufacturing or computing environments.

Replications

The repetition of an experiment or study to verify its results and ensure reliability.

Queue Capacity

The total number of items or entities that a queue can hold at any one time, determined by the system's limitations and resources.

Time Blocked

A scheduling strategy where specific periods are designated for particular tasks or activities.