Assumethecostsof a service department are driven by the number of service orders and the equation for calculating the costs of a servicedepartment isy= $5,000 + $3X. The cost of the department if there were 6,000 orders would be $25,000.

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True

False

Question34

Manufacturingcostsincludedirectlabour,directmaterialsandallcompany-operatingcosts.

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True

False

Question35

Processcostingcanbeusedinservicebusinessesiftheserviceisroutineandrepetitive.

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True

False