Multiple Choice
(Appendix 12B) For performance evaluation purposes, any variance between budgeted fixed costs and actual fixed costs in a service department:
A) should be allocated both to operating departments and to other service departments on the basis of usage.
B) should be allocated to operating departments only on the basis of usage.
C) should be allocated to other service departments only on the basis of usage.
D) should be retained in the service department itself.
Correct Answer:

Verified
Correct Answer:
Verified
Q20: (Appendix 12B)Nathan Company has an Equipment Services
Q21: (Appendix 12B)The Hudson Block Company has a
Q22: (Appendix 12B)The medical services department of Bantam
Q23: (Appendix 12B)If a portion of the actual
Q24: (Appendix 12B)Sheinberg Corporation has two operating divisions-a
Q26: (Appendix 12B)Budgeted fixed costs in Swasey company's
Q27: (Appendix 12B)For performance evaluation purposes, any variance
Q28: (Appendix 12B)For performance evaluation purposes, the lump-sum
Q29: (Appendix 12B)Larubbio Corporation has two operating divisions-an
Q30: (Appendix 12B)Brosnan Corporation has two operating divisions-a