For Performance Evaluation Purposes,variable Costs of Service Departments Should Be

question 2

Multiple Choice

For performance evaluation purposes,variable costs of service departments should be charged to operating departments at the end of the period on the basis of:

• A)the actual rate based on peak-period service needed.
• B)the budgeted rate based on peak-period service needed.
• C)the actual rate based on actual service provided.
• D)the budgeted rate based on actual service provided.

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Definitions:

Duplication

The act of making an exact copy of something; in genetics, it refers to a type of mutation where segments of DNA are repeated.

Postal Money Order

A financial instrument, purchased from a postal authority, used to pay a specified amount of money to someone else.

Endorsement

The act of giving one's public approval or support to someone or something, or in financial terms, the signature on the back of a check that allows it to be deposited or cashed.

Subtle Gradations

Fine or slight differences or variations within a range or series of elements or aspects.