"A company should not allocate all of its corporate costs to its divisions." Do you agree? Explain. * OA. Agree. Allocating some but not all corporate costs to divisions is the preferred alternative. B. Disagree. In general, companies have two choices regarding the allocation of corporate costs to divisions: allocate the fixed corporate costs, or allocate the variable corporate costs. OC. Agree. Companies only allocate variable corporate costs back to divisions. D. Disagree. In general, companies have three choices regarding the allocation of corporate costs to divisions: allocate all corporate costs, allocate some corporate costs (those "controllable" by the divisions), and allocate none of the corporate costs. Which one of these is appropirate depends on several factors: the composition of corporate costs, the purpose of the costing exercise, and the time horizon, to name a few.

Previously answered B which is incorrect!

"A company should not allocate all of its corporate costs to its divisions." Do you agree? Explain. A. Agree. Allocating some but not all corporate costs to divisions is the preferred alternative. B. Disagree, In general, companies have two choices regarding the allocation of corporate costs to divisions: allocate the fixed corporate costs, or allocate the yariable corporate costs. C. Agree, Companies only allocate variable corporate costs back to divisions. D. Disagree. In general, companies have three choices regarding the allocation of corporate costs to divisions: allocate all corporate costs, allocate some corporate costs (those "controllable" by the divisions), and allocate none of the corporate costs. Which one of these is appropirate depends on several factors: the composition of corporate costs, the purpose of the costing exercise, and the time horizon, to name a few