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Some Costs That Possibly Could Be Traced Directly to Cost

Question 113

Multiple Choice

Some costs that possibly could be traced directly to cost objects are nonetheless classified as indirect costs because:


A) Such costs cannot be traced to objects in a cost-effective manner.
B) Such practice results in a more accurate accumulated cost for the object.
C) Generally accepted accounting principles require some costs to be treated as indirect.
D) All of the answers are correct.

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