Which of the following is not an ethical issue managers encounter with cost allocation?
A)Products that are produced for both a competitive market and a public agency.
B)Governmental agency provides a free service to the public.
C)Governmental agency reimburses the costs of a private institution.
D)Costs of products sold to or from foreign subsidiaries.

Question

Quizplus · Accepted Answer

The ethical issue in cost allocation typically involves the fair and accurate distribution of costs among different products, services, or departments. A governmental agency providing a free service to the public does not directly involve the managerial decision-making process related to cost allocation among revenue-generating products or services, making it not an ethical issue in cost allocation.

Which of the Following Is Not an Ethical Issue Managers