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Most companies allocate facility-level activity costs directly to products for decision-making purposes.True or false?

User Rodgobbi
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Answer:

False

Step-by-step explanation:

Facility-level costs are being the type of activity based cost activities and it simply sustains a facility’s general manufacturing process. We can say some samples about this type of costs:

1) The costs about depreciation or rent of a factory building

2) The costs about salary of a plant manager

3) The costs about insurance, taxes, etc.

4) The costs about training

As you see all about this cost mentioned only in manufacturing processes not in decision making.

User Luzmarina
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