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In Vroom's Expectancy Equation, the Term Expectancy Represents

question 28

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In Vroom's expectancy equation, the term expectancy represents:


Definitions:

Cost Distribution

The process of assigning or allocating an organization's costs to specific cost objects, such as products or departments.

Support Department Cost Allocation

The distribution of overhead costs from auxiliary departments (like maintenance or HR) to producing departments based on relevant allocation bases.

Support Department Cost Allocations

The process of distributing indirect costs from service departments to the departments that directly contribute to revenue generation.

Direct Method

A technique in cost accounting where only direct costs are assigned to cost objects, ignoring indirect costs.

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