Which of the following is not an advantage of the direct method?
A) The benefit is simplicity.
B) The direct method is easy to use.
C) No need to predict the usage of support department services by other departments.
D) It ignores information about reciprocal services provided among support departments.
E) None of these are disadvantages.
Correct Answer:
Verified
Q114: The end-of-year adjustments are the same for
Q115: McCormick's Ship Repair service is bidding on
Q116: Managers compute the budgeted direct-labor cost rate
Q117: In actual costing,the _ rates are calculated
Q118: The mechanics of using budgeted rates for
Q120: Under the _ _ once a support
Q121: Managers are not required to know the
Q122: A disadvantage of the direct method is
Q123: Managers implement the step-down method because it
Q124: The reciprocal method is known to be
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents