When Using the Step-Down Method What Is an Appropriate Method

Multiple Choice

When using the step-down method what is an appropriate method to rank the cost pools?

A) From the cost pool with the lowest budgeted costs to the cost pool with the highest budgeted costs
B) From management's intuitive determination which can be based on a variety of factors
C) From the cost pool with the fewest employees to the cost pool with the most employees
D) All of these are acceptable methods as long as they are applied consistently