Support department cost allocation method which makes no difference between variable and fixed costs is classified as
A. sales mix allocation method
B. dual-rate cost-allocation method
C. single rate cost allocation method
D. quantity variance allocation method
Answer: Option C
Solution (By Examveda Team)
Support department cost allocation method which makes no difference between variable and fixed costs is classified as single rate cost allocation method. The single-rate cost-allocation method makes no distinction between fixed costs and variable costs in the cost pool.
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