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A Company Is Considering the Use of a Single-Stage Cost

Question 139

Multiple Choice

A company is considering the use of a single-stage cost allocation process. Under what conditions would this choice be justified?


A) The company has many service departments but only one production department.
B) The company produces a few products with similar characteristics in a few departments.
C) The company has no service departments but many production departments.
D) The company produces a wide selection of differing products.

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