Which of the following is a reason to allocate support department costs? O To measure income more accurately for external purposes O To encourage operating departments to use support departments in an efficient way To encourage support departments to use operating departments in an efficient way O To more accurately reflect the true cost of support departments

Survey of Accounting (Accounting I)
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ISBN:9781305961883
Author:Carl Warren
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Chapter14: Decentralized Operations
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Which of the following is a reason to allocate support department costs?
O To measure income more accurately for external purposes
O To encourage operating departments to use support departments in an efficient way
To encourage support departments to use operating departments in an efficient way
O To more accurately reflect the true cost of support departments
Transcribed Image Text:Which of the following is a reason to allocate support department costs? O To measure income more accurately for external purposes O To encourage operating departments to use support departments in an efficient way To encourage support departments to use operating departments in an efficient way O To more accurately reflect the true cost of support departments
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