Dual Allocation Is a Cost Allocation Approach That Separates Direct

question 138

Multiple Choice

Dual allocation is a cost allocation approach that separates direct and indirect costs,tracing the direct costs directly to the department that:

• A) can bear the cost.
• B) relates best to the cost.
• C) is first identified with the cost.
• D) caused the cost.

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Definitions:

Rental Prices

The amount of money charged by a landlord to a tenant for the use of property, such as an apartment or commercial space.

Factor Market

Markets where factors of production (such as labor, capital, and natural resources) are bought and sold.

Human Capital

The competencies, understanding, and expertise held by a person or group, considered regarding their importance to a company or community.

Higher Salaries

Refers to wages that are above the average for a particular profession or region, often due to high demand, skill level, or experience.