Expenses that affect the operating activities of more than one interim period are allocated among the periods based on an estimate of
A) time expired
B) benefit received
C) activity associated with the periods
D) all of these

Question

Quizplus · Accepted Answer

Expenses affecting the operating activities of more than one interim period need to be allocated among the periods, and the allocation can be based on an estimate of time expired, benefit received, or activity associated with the periods. Therefore, option D, i.e., all of these, is the best choice.

Expenses That Affect the Operating Activities of More Than One