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  3. Study Set
    Management Accounting Study Set 6
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    Exam 3: A Costing Framework and Cost Allocation
  5. Question
    One Reason That Entities Allocate Indirect Costs to Cost Objects
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One Reason That Entities Allocate Indirect Costs to Cost Objects

Question 38

Question 38

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One reason that entities allocate indirect costs to cost objects is to encourage the use of central resources.

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