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    Allocation of Non-Traceable Costs Problem

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    If non-traceable costs are not allocated to the various operating units within an organization, who ends up paying these costs?

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    It depends what you mean by non-traceable costs but the organization pays for the costs it has incurred. The question is whether the costs can be attributed directly to an operating dept.

    Some costs cannot be directly allocated to the operating units. What you do with them depends on the kind ...

    Solution Summary

    This solution discusses the allocation of non-traceable costs in 205 words.