The overhead allocation method that allocates service department costs without consideration of services rendered to other service departments is the

The income calculation for a division manager's ROI should be based on:s

Download 118.12 Kb.

Page	13/38
Date	17.12.2020
Size	118.12 Kb.
	#55418

1 ... 9 10 11 12 13 14 15 16 ... 38

ASSIGNMENT #6 EDITED

The income calculation for a division manager's ROI should be based on:s

a. divisional contribution margin.

b. divisional income before interest and taxes.

c. profit margin traceable to the division.

d. divisional net income.

e. profit margin controllable by the division manager.
Question text

Which of the following is not an objective for computing full cost?

a. to instill a consideration of support costs

b. to reflect production's "fair share" of cost

c. to reflect usage of services on a fair and equitable basis

d. to provide for cost recovery
Question text

Allocating service department costs to revenue-producing departments is an alternative to

a. the use of profit centers.

b. responsibility accounting.

c. the use of cost centers.

d. a transfer pricing system.

Question text

Download 118.12 Kb.

Share with your friends:

1 ... 9 10 11 12 13 14 15 16 ... 38