Non-traceable costs, fixed cost
Not what you're looking for?
1. If non-traceable costs are not allocated to the various operating units within an organization, who ends up paying these costs?
2. Some firms have a lot of fixed costs and few variable costs, while other firms are configured the other way around. What affect do you think the existence of a high proportion of fixed costs has on the desirability of using ABC methods?
Purchase this Solution
Solution Summary
The solution answers the questions below.
Solution Preview
Answer 1: If non-traceable costs are not allocated to the various operating units within an organization, then the business (as a whole) ends up paying those costs. All costs do not have to be allocated to any operating unit. For example the CEO's ...
Purchase this Solution
Free BrainMass Quizzes
Motivation
This tests some key elements of major motivation theories.
Situational Leadership
This quiz will help you better understand Situational Leadership and its theories.
Transformational Leadership
This quiz covers the topic of transformational leadership. Specifically, this quiz covers the theories proposed by James MacGregor Burns and Bernard Bass. Students familiar with transformational leadership should easily be able to answer the questions detailed below.
Accounting: Statement of Cash flows
This quiz tests your knowledge of the components of the statements of cash flows and the methods used to determine cash flows.
Introduction to Finance
This quiz test introductory finance topics.