The direct method uses each operating department's allocation rate to allocate costs to a support department.
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Q11: The step-down method does not recognize services
Q12: The calculations for the reciprocal method are
Q13: Single-rate allocation methods use only one cost
Q14: The step-down method allocates support department costs
Q15: Support department costs are always allocated to
Q17: Typical support departments include accounting and human
Q18: When managers use dual-rate allocation, they frequently
Q19: Single-rate allocations are unlikely to reflect actual
Q20: A properly designed accounting system insures that
Q21: The personnel department provides service to operating
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