Most managers believe that the ideal cost-allocation base is the ________ ________ of the indirect costs,since there is a cause-and-effect relationship between the cost allocation base and the indirect costs.

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The term "cost driver" refers to a factor that incurs costs in a company's operations. So, the ideal cost-allocation base is the cost driver of the indirect costs because there is a cause-and-effect relationship between the cost allocation base and the indirect costs. Choosing the right cost driver ensures that indirect costs are allocated more accurately and efficiently.

Most Managers Believe That the Ideal Cost-Allocation Base Is the ________