Which of the following statements about the direct or indirect cost classification is not true?
A)Indirect costs are always traced.
B)Indirect costs are always allocated.
C)The design of operations affects the direct or indirect cost classification.
D)The direct/indirect classification depends on the choice of the cost object.
E)All of these statements are true.

Question

Quizplus · Accepted Answer

Indirect costs are not always traced, they are allocated or assigned to cost objects based on some predetermined allocation method.

Which of the Following Statements About the Direct or Indirect