Which of the following is not a common reason to use allocations:
A)To justify costs and reimbursements.
B)To increase net income.
C)To justify prices.
D)If there is uncertainty about a project's success.
E)All of the above are reasons to use allocations.

Question

Quizplus · Accepted Answer

The use of allocations does not inherently increase net income, but rather reallocates costs among various departments or activities. The other options listed are all common reasons to use allocations.

Which of the Following Is Not a Common Reason to Use