Which of the following would not be an appropriate cost-allocation base for the Personnel department costs?
A) Space occupied
B) Number of employees
C) Total payroll dollars in department using the equipment
D) Labor hours

Question

Quizplus · Accepted Answer

Space occupied is not directly related to the activities of the Personnel department, which typically deals with employee-related services, making it an inappropriate cost-allocation base for Personnel department costs.

Which of the Following Would Not Be an Appropriate Cost-Allocation