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    Cost Management Study Set 1
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    Exam 7: Cost Allocation: Departments, Joint Products, and By-Products
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    An Overhead Cost That Can Be Traced Directly to Either
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An Overhead Cost That Can Be Traced Directly to Either

Question 32

Question 32

Multiple Choice

An overhead cost that can be traced directly to either a service or production department:


A) Is called a "flow through" cost.
B) Requires less allocation effort.
C) Is charged directly to that department.
D) Must be variable.
E) Must be fixed.

Correct Answer:

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