An allocation of delivery expenses to other departments which results in an answer that is not an estimate could be based on:
A) sales volume.
B) number of deliveries.
C) cubic volume of deliveries.
D) None of the above. The allocation of indirect expenses is always an estimate no matter which method is used.

Question

Quizplus · Accepted Answer

The allocation of indirect expenses, such as delivery expenses, is always an estimate, regardless of the method chosen. Therefore, none of the options provided in the question would result in an exact answer.

An Allocation of Delivery Expenses to Other Departments Which Results