The process of first allocating costs to intermediate cost pools and then to the individual cost objects using different allocation bases is a(n):
A) continuous flow process.
B) cost management system.
C) two-stage allocation system.
D) operations cost.

Question

Quizplus · Accepted Answer

A two-stage allocation system involves first assigning costs to intermediate cost pools and then allocating those costs to individual cost objects using different allocation bases.

The Process of First Allocating Costs to Intermediate Cost Pools