The first step in determining whether a cost is direct or indirect is to specify the cost allocation rule.This is the first step to define the cost object.

Name: The first step in determining whether a cost is direct or indirect is to specify the cost allocation rule.This is the first step to define the cost object.
Brand: Quizplus
Rating: 4.8 (41 reviews)

Question

Quizplus · Accepted Answer

The first step is to define the cost object, which is the item or activity for which the cost is being measured, before determining if a cost is direct or indirect.

The First Step in Determining Whether a Cost Is Direct