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Allocation

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1. If you had to make the decision on which allocation base to adopt for your company, what criteria would you consider?

2. What considerations does management have when trying to determine the best cost-allocation base to use?

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Solution Summary

This solution discussed allocation and cost-allocation within a business. The criteria to consider for making decisions of which allocation base to adopt is determined. The considerations management does have when trying to determine the best cost-allocation base to use is determined.

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1. If you had to make the decision on which allocation base to adopt for your company, what criteria would you consider?

The allocation base that I would have for my company is that of human resources. This is because they are able to hire, evaluate and do everything possible to retain employees. I would not have the time to keep in contact with all of them, especially if I was in charge, but would make every effort. However, I can do everything possible to meet their needs by making it a positive environment for employees and consumers. The ...

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