Q614
Method which divides support department cost into two dimensions such as fixed and variable cost pool is classified as
A.
sales mix allocation method
B.
dual-rate cost-allocation method
AnswerC.
single rate cost allocation method
D.
quantity variance allocation method
Answer: Option B
Solution
Answer: Option B
Solution:
Method which divides support department cost into two dimensions such as fixed and variable cost pool is classified as dual-rate cost-allocation method. Allocations are performed in order to create financial statements that are in compliance with the applicable accounting framework.