Question

For external reporting purposes, it is acceptable to allocate marketing costs to individual jobs.

a-true
b-false

Answer 1

For external reporting purposes, it is false to allocate marketing costs to individual jobs.

Step-by-step explanation:

For external reporting purposes, it is false to allocate marketing costs to individual jobs. External reporting involves presenting financial information to external stakeholders such as investors, creditors, and regulators. Instead of allocating marketing costs to individual jobs, these costs are typically treated as period expenses and reported as part of the overall marketing expenses in the income statement.

Allocating marketing costs to individual jobs is more commonly used for internal reporting purposes, such as assessing the profitability of specific projects or clients.

By not allocating marketing costs to individual jobs, companies can provide a more accurate assessment of their overall marketing performance and expenses.