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What Is the Proper Sequence of Steps in Allocating Costs

Question 3

Multiple Choice

What is the proper sequence of steps in allocating costs to production departments?


A) Assign direct costs to departments,allocate indirect costs to departments,and allocate service department costs to production departments.
B) Assign indirect costs to departments,allocate direct costs to departments,and allocate service department costs to production departments.
C) Assign service department costs to production departments,allocate direct costs to departments,and allocate indirect costs to production departments.
D) Assign indirect costs to departments,allocate service department costs to departments,and allocate direct costs to production departments.

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