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Commerce · Q630

Costing

Graduate and Post Graduate · Commerce · question 630

Q630

Process in which earned revenue is related to specific revenue object, which can cannot trace it in cost effective way is known as

A.
revenue allocation
Answer
B.
revenue object
C.
revenue increment
D.
reciprocal revenue

Answer: Option A

Solution

Answer: Option A
Solution:
Process in which earned revenue is related to specific revenue object, which can cannot trace it in cost effective way is known as revenue allocation. Revenue allocation can be described as a method of sharing the centrally generated revenue among different tiers of government and how the amount allocated to a particular tier is shared among its components for economic development.