Why does the dual-allocation approach improve the resulting cost allocation?

Question:

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Managerial Accounting

ISBN: 9780073022857

7th Edition

Authors: Ronald W Hilton

See More Books

Question Posted: Mar 12, 2013 03:20 AM

See More Questions

Why does dual cost allocation improve the resulting allocation of service department costs?
Why does support department cost allocation matter to service businesses (such as colleges and universities)? Please explain the importance. Also, identify three businesses, companies, or non-profit...
Why is the traditional approach to indirect cost allocation less expensive to implement than the activity-based costing approach?
1 of 4 Set 1 UIBS United International Business Schools Class Work Mergers and Acquisitions 1. Rudy's, Inc. and Blackstone, Inc. are all-equity firms. Rudy's has 1,500 shares outstanding at al market...
In the 17th century, there were more than 800,000 inhabitants of Paris. At the time, it was believed that no one had more than 200,000 hairs on their head. Assuming these numbers are correct and that...
A company purchases merchandise for $26,000. The seller also offers credit terms of 2/10, 1/30. Assuming no returns were made, and that payment was made within the discount period, what is the net...
E 15-9 Interim accounting for various situationstax 1. An inventory loss from a market price decline occurred in the first quarter, and the decline was not expected to reverse during the fiscal year....
Cannon Mountain Mining paid $462,300 for the right to extract mineral assets from a 400,000-ton deposit. In addition to the purchase price, Cannon also paid a $900 filing fee, a $1,800 license fee to...
The Southside Counseling Center was established on January 1 0 , 2 0 2 3 , to provide a variety of counseling services to community residents, including marital and family counseling and treatment...
Papa John's International Inc. operates and franchises pizza delivery and carryout restaurants worldwide. The following is an alphabetical list of accounts and amounts reported in a recent year's set...
How does the managerial accountant determine the department sequence in the step down method? How are ties handled?
What potential behavioral problem can result when the dual approach is used?
The company makes colorful 100% cotton shirts that are very popular among sophisticated business executives. The company uses 50,000 pounds of cotton each month in its production process. On December...
The Role of Leadership in Shaping Organizational Culture Recent research stated that [c]ompanies with an established organizational culture that includes strong capabilities for change, commitment to...
Unscheduled absences by clerical and production workers are an important cost in many companies. Reducing the rate of absenteeism is, therefore, an important goal for a company's human relations...
Many of the largest tech firms, including Google, Apple, Amazon, and Microsoft, have spent hundreds of millions of dollars to improve their information technology infrastructure. Now, these companies...
In the business sense, a product refers to a commodity available for purchase, encompassing both services and tangible or intangible items. It may exist in physical, virtual, or cyber forms. Every...
Data Exploration and Multiple Linear Regression (MLR) using SAS. The "College" data set contains the statistics for many US Colleges from 1995 issue of US News and World Report. It has 777...
Present value. You and your husband (wife) just had a nasty divorce. You, being the breadwinner in the family, have to pay support to him (her) for the next 15 years. You haggle out a price of $3,000...
At Glass Company, materials are added at the beginning of the process and conversion costs are added uniformly. Work in process, beginning: Number of units Transferred - in costs Direct materials...
The cost of wasted capacity is the reduction in margin that results from having to go to a backup source. the margin that would have been generated if the capacity had been used for production. the...
Why should the employee who handles cash receipts not have the responsibility for maintaining the accounts receivable records? Explain.
Why should the employee who handles cash receipts not have the responsibility for maintaining the accounts receivable records? Explain.
Before a voucher for the purchase of merchandise is approved for payment, supporting documents should be compared to verify the accuracy of the liability. Give an example of supporting documents for...
A government bond matures in 30 years, makes semi-annual coupon payments of 6.0% ($120 per year) and offers a yield of 3.7% annually compounded. Assume face value is $1,000. Three years later the...
Your objective is: 1. Carry out a life insurance needs analysis, for each one of them (show your calculations) [30 Marks] 2. Refer to the case and the insurance plan quotes. Would you recommend...
TufStuff, Incorporated, sells a wide range of drums, bins, boxes, and other containers that are used in the chemical industry. One of the company s products is a heavy - duty corrosion - resistant...

Why does the dual-allocation approach improve the resulting cost allocation?

Question:

Step by Step Answer:

Dual cost allocation approach refers to the allocation of fixed and variable cost separately Th...View the full answer

Managerial Accounting

Students also viewed these Managerial Accounting questions