Unallocated costs ________.
A)are not recorded in the cost accounting system
B)are not allocated to cost objects
C)are direct costs for service firms
D)are indirect costs for merchandising firms

Question

Quizplus · Accepted Answer

Unallocated costs are costs that have not been assigned or allocated to a specific cost object or product. These costs remain unassigned and are therefore not included in the cost of a product or service. Therefore, option B is the correct answer. Options A, C and D are not accurate.

Unallocated Costs ________