The FASB requires allocations of joint, common, or company-wide costs for external reporting purposes.

Question

Quizplus · Accepted Answer

The Financial Accounting Standards Board (FASB) does not require the allocation of joint, common, or company-wide costs for external reporting purposes. Instead, it allows for these costs to be reported in a manner that is most meaningful for financial statement users, without mandating specific allocation methods.

The FASB Requires Allocations of Joint, Common, or Company-Wide Costs