Which of the following methods fully recognizes the fact that some service departments provide service to other service departments?
A)Direct method.
B)Indirect method.
C)Step-down method.
D)Reciprocal methoD.
E)Dual-cost allocation method.

Question

Quizplus · Accepted Answer

The reciprocal method fully recognizes the fact that some service departments provide service to other service departments by allocating costs to each other based on the services provided. It is the most accurate method for cost allocation but also the most complex.

Which of the Following Methods Fully Recognizes the Fact That