Generally,it does not matter how cost allocations are designed and explained,because most employees do not care whether the allocations appear to be fair or not.
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Q5: Responsibility performance reports usually compare actual costs
Q6: Expense allocations cannot always avoid some arbitrariness.
Q8: The price that should be used to
Q8: Departmental information is important and always disclosed
Q10: Advertising expense can be reasonably allocated to
Q11: A transfer price has no direct impact
Q12: Indirect expenses should be allocated to departments
Q12: A department can never be considered to
Q15: Direct expenses must be allocated across departments.
Q20: Departmental wage expenses are direct expenses of
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