Allocating service department costs to revenue-producing departments is an alternative to
A)responsibility accounting.
B)the use of profit centers.
C)the use of cost centers.
D)a transfer pricing system.

Question

Quizplus · Accepted Answer

Allocating service department costs to revenue-producing departments is an alternative to a transfer pricing system, which involves setting prices for transactions between departments within the same organization.

Allocating Service Department Costs to Revenue-Producing Departments Is an Alternative