1C3P THE MANAGEMENT OF ROX COMPANY WISHES TO ENCOURAGE ALL OTHER DEPA...

217. CSO: 1C3d LOS: 1C3p

The management of ROX Company wishes to encourage all other departments to use the

legal department, as circumstances warrant. To accomplish this, legal department costs

should be

a. allocated to users on the basis of the actual cost of hours used.

b. allocated to users on the basis of the budgeted cost of actual hours used.

c. allocated to users on the basis of standard cost for the type of service provided.

d. absorbed as a corporate expense.