Vidyalelo
Commerce · Q657

Costing

Graduate and Post Graduate · Commerce · question 657

Q657

If an actual indirect cost incur is 35000 and indirect cost allocated is 43000, then under allocated indirect cost will be

A.
$78,000
B.
-$78000
C.
-$8000
Answer
D.
$8,000

Answer: Option C

Solution

Answer: Option C
Solution:
Under allocated indirect cost = Actual indirect cost incur - Indirect cost allocated = 43000 = -$8000