Cost And Management Accountıng Deneme Sınavı Sorusu #1400954
The first step in allocating support department costs to operating departments is:
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Assign costs to cost pools. |
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For each support department cost pool, choose an allocation base. |
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Identify support and operating department cost pools. |
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Allocate support costs from the operating departments to units of goods or services. |
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Explain the purpose of the allocation. |
The process for allocating support department costs to operating departments involves the following steps: 1. Explain the purpose of the allocation. 2. Identify support and operating department cost pools. 3. Assign costs to cost pools. 4. For each support department cost pool, choose an allocation base. 5. Choose and apply a method for allocating support department costs to operating departments. 6. If relevant, allocate support costs from the operating departments to units of goods or services.
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