(Appendix 12B)For Performance Evaluation Purposes, Any Variance Between Budgeted Fixed

question 25

Multiple Choice

(Appendix 12B) For performance evaluation purposes, any variance between budgeted fixed costs and actual fixed costs in a service department:

• A)should be allocated both to operating departments and to other service departments on the basis of usage.
• B)should be allocated to operating departments only on the basis of usage.
• C)should be allocated to other service departments only on the basis of usage.
• D)should be retained in the service department itself.

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