A disadvantage of the _________ method is that it ignores information about reciprocal services provided between
Support departments and can therefore lead to inaccurate estimates of the cost of operating departments.

Question

Quizplus · Accepted Answer

The direct method ignores information about reciprocal services provided between support departments, leading to potentially inaccurate estimates of the cost of operating departments. This method allocates support department costs directly to operating departments without considering the services provided between support departments.

A Disadvantage of the _________ Method Is That It Ignores