Of the following statements, which is NOT true concerning indirect costs? An allocation rate for an indirect cost is determined by dividing the total cost to be allocated by an appropriate cost driver. An indirect cost is a cost that cannot easily be traced to a cost object. The informational benefits from tracing an indirect cost are not worth the economic sacrifice incurred in tracing the cost. An indirect cost can be fixed but cannot be variable. Logan Corporation has 40 employees, 30 in Department A and 10 in Department B. Logan incurred SI80,000 in fringe benefits costs last year. How much in fringe benefit costs should be allocated to Department A? Which of the following would be classified as an indirect cost in a department store? Assume the cost object is the children's department sales commissions cost of goods sold utility costs depreciation on cash registers Factory overhead is estimated to be $40,000 and is applied based on direct labor dollars. This overhead cost is not traceable to any particular product. Factory overhead allocated to Product 2 is The total cost of Product I is Saylind Molding paid $280,000 in rent for the year. The company's three departments are headrests, armrests, and air ducts. The departments occupy 5,000.6,000, and 3, 700 square feet, respectively. How much of the rent cost should be allocated to the products made in the air ducts department