(Appendix 4B)The step method usually provides results that are a reasonable approximation of the results that the reciprocal method provide.

Question

Quizplus · Accepted Answer

The step method is a simpler and quicker way of apportioning joint costs to products or services. While it may not provide the exact same results as the reciprocal method, it usually provides a reasonable approximation. Therefore, the statement is true.

(Appendix 4B)The Step Method Usually Provides Results That Are a Reasonable