Under the direct method:
A) A support department's costs are allocated only to final operating department users
B) A support department's costs are allocated only to other support departments
C) The costs of the support departments are allocated sequentially
D) The costs of the support departments are allocated in order of their magnitude

Question

Quizplus · Accepted Answer

Under the direct method, a support department's costs are allocated directly only to the final operating department users. This method does not allocate any costs to other support departments.

Under the Direct Method