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Which of the following is a true statement? A) Direct labor must be allocated to cost objects, such as services provided. B) Direct labor is
Which of the following is a true statement?
A) Direct labor must be allocated to cost objects, such as services provided.
B) Direct labor is easily traced to a cost object, such as service provided.
C) Indirect costs, such as rent expense for corporate headquarters, are easily traced to a cost object, such as a service provided.
D) Cost allocation is a natural classification of costs, such as materials and labor.
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