Consider the Following Statements About Support Department Cost Allocations

question 77

Multiple Choice

Consider the following statements about support department cost allocations.
i. The allocation of actual costs encourages support department managers to control the costs in their departments.
ii. When budgeted costs are allocated, any efficiency in support department operations are passed along to user departments.
iii. The allocation of budgeted costs rather than actual costs gives an incentive for support department managers to control costs in their departments.
Which statement/s is/are true?

• A) i
• B) ii
• C) i and ii
• D) iii

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Definitions:

Place Theory

A theory in hearing that proposes different areas of the cochlea are activated by different frequencies of sounds, contributing to the perception of pitch.

Oval Window

A membrane-covered opening that leads from the middle ear to the vestibule of the inner ear and is involved in the process of hearing.

Tympanic Membrane

A thin membrane that separates the outer ear from the middle ear and vibrates in response to sound waves, also known as the eardrum.

Basilar Membrane

A critical structure in the inner ear, it plays a key role in the mechanical process that translates sound vibrations into neural signals.