Nonoperating income,such as interest income,should be allocated on the basis of total sales in each department.

Name: Nonoperating income,such as interest income,should be allocated on the basis of total sales in each department.
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Question

Quizplus · Accepted Answer

Nonoperating income should not be allocated on the basis of sales in each department as it is not directly related to the department's operations. A more appropriate allocation method would be based on the overall financial performance of the company.

Nonoperating Income,such as Interest Income,should Be Allocated on the Basis