Solution-Which the use of the method suggests

Which the use of the method suggests

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Reference no: EM132632015

Problem 1: A company uses the repeated distribution method to reapportion service department costs. The use of this method suggests

A. The company's overhead rates are based on estimates of cost and activity levels, rather than actual amounts

B. There are more service departments than production cost centres

C. The company wishes to avoid under- or over-absorption of overheads in its production cost centres

D. The service departments carry out work for each other

Reference no: EM132632015

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Which the use of the method suggests

Reference no: EM132632015

Reference no: EM132632015

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