true false write 39 t 39 if the statement is true and 39 f 39 if the statement is fa 4302411

TRUE/FALSE.

Write 'T' if the statement is true and 'F' if the statement is false. 1)

The allocation of one particular cost must satisfy all four purposes of cost allocation.
1)

_______

2)

Indirect costs typically constitute a large percentage of the costs assigned to cost objects.
2)

_______

3)

For the economic decision purpose of cost allocation, the costs in all six functions of the value chain should be included.
3)

_______

4)

The costs of designing and implementing sophisticated cost allocation systems are usually not very visible.
4)

_______

5)

If one is willing to put in the time and expense, it is always possible to identify the specific cause-and-effect relationship needed for a cost allocation base.
5)

_______

6)

Benefits from using a well-designed cost allocation system are highly visible.
6)

_______

7)

Many organizations now have manufacturing or distribution overhead costing systems that use more than ten different cost allocation bases.
7)

_______

8)

A cost pool is a grouping of individual cost items.
8)

_______

9)

The cost pool is homogeneous if all included activities have the same or similar cause-and-effects or benefits received relationships between the cost driver and the costs of the activity.
9)

_______

10)

The single-rate method is when all indirect costs are combined in one cost pool and allocated to cost objects via a single rate per unit.
10)

______