The preferred guidelines for allocating service department costs include _____.
A)identifying the direct and indirect costs
B)evaluating performance using allocated costs for each service department
C)establishing part or all of the details regarding cost allocation in advance of rendering the service
D)allocating variable- and fixed-cost pools simultaneously

Question

Quizplus · Accepted Answer

Establishing part or all of the details regarding cost allocation in advance of rendering the service is a preferred guideline as it ensures clarity and consistency in how costs are allocated.

The Preferred Guidelines for Allocating Service Department Costs Include _____