| Chapter Objectives (See related pages)
After studying Chapter 6, you should be able to:
LO1 | Explain the major reasons for the need for allocating nonmanufacturing costs. | LO2 | Allocate costs of service departments to other operating departments/units using the cost behavior concept. | LO3 | Allocate service department costs to operating departments using the direct method. | LO4 | Allocate service department costs to operating departments using the step-down method. |
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