Which method assigns support department costs by giving full recognition to support department interactions?

Question

Quizplus · Accepted Answer

The reciprocal method assigns support department costs by giving full recognition to the mutual interactions that exist among all support departments. This method acknowledges that support departments provide services to each other and not just to the production departments. Therefore, it is considered the most accurate method in allocating support department costs.

Which Method Assigns Support Department Costs by Giving Full Recognition