(Appendix 12B)Sales dollars is generally a poor base to use in allocating service department costs.

Name: (Appendix 12B)Sales dollars is generally a poor base to use in allocating service department costs.
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Sales dollars are not always a good indicator of how much a service department is being used or benefited from by different departments or products. It may be more appropriate to use another allocation base such as labor hours, number of employees, or square footage.

(Appendix 12B)Sales Dollars Is Generally a Poor Base to Use