222. CSO: 1C3d LOS: 1C3p
Render Inc. has four support departments (maintenance, power, human resources, and
legal) and three operating departments. The support departments provide services to the
operating departments as well as to the other support departments. The method of
allocating the costs of the support departments that best recognizes the mutual services
rendered by support departments to other support departments is the
a. direct allocation method.
b. dual-rate allocation method.
c. step-down allocation method.
d. reciprocal allocation method.
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