B Com Exam > B Com Questions > Which method of re-distribution considers int...
Start Learning for Free
Which method of re-distribution considers interdepartmental services in distributing the expenses of service departments?
- a)Direct distribution method
- b)Step method
- c)Reciprocal service method
- d)Repeated distribution method
Correct answer is option 'C'. Can you explain this answer?
| FREE This question is part of | Download PDF Attempt this Test |
Most Upvoted Answer
Which method of re-distribution considers interdepartmental services i...
Reciprocal Service Method:
The reciprocal service method is the method of re-distribution that considers interdepartmental services in distributing the expenses of service departments. This method takes into account the services rendered by one service department to another and allocates costs accordingly.
Key Points:
- In this method, each service department's costs are allocated to other service departments and then reciprocated back to the original department.
- The process involves multiple iterations to accurately distribute costs based on the services provided and received.
- The reciprocal service method is more complex than other methods but provides a more accurate reflection of the actual costs incurred by each department.
Using the reciprocal service method ensures that the costs of providing and receiving services within an organization are properly accounted for, leading to a more accurate allocation of expenses among departments.
The reciprocal service method is the method of re-distribution that considers interdepartmental services in distributing the expenses of service departments. This method takes into account the services rendered by one service department to another and allocates costs accordingly.
Key Points:
- In this method, each service department's costs are allocated to other service departments and then reciprocated back to the original department.
- The process involves multiple iterations to accurately distribute costs based on the services provided and received.
- The reciprocal service method is more complex than other methods but provides a more accurate reflection of the actual costs incurred by each department.
Using the reciprocal service method ensures that the costs of providing and receiving services within an organization are properly accounted for, leading to a more accurate allocation of expenses among departments.
Free Test
FREE
| Start Free Test |
Community Answer
Which method of re-distribution considers interdepartmental services i...
The reciprocal service method of re-distribution considers interdepartmental services in distributing the expenses of service departments. This method acknowledges that service departments may render services to each other and accounts for these interdepartmental services in the distribution. Therefore, the correct answer is option C.
|
Explore Courses for B Com exam
|
|
Similar B Com Doubts
Which method of re-distribution considers interdepartmental services in distributing the expenses of service departments?a)Direct distribution methodb)Step methodc)Reciprocal service methodd)Repeated distribution methodCorrect answer is option 'C'. Can you explain this answer?
Question Description
Which method of re-distribution considers interdepartmental services in distributing the expenses of service departments?a)Direct distribution methodb)Step methodc)Reciprocal service methodd)Repeated distribution methodCorrect answer is option 'C'. Can you explain this answer? for B Com 2024 is part of B Com preparation. The Question and answers have been prepared according to the B Com exam syllabus. Information about Which method of re-distribution considers interdepartmental services in distributing the expenses of service departments?a)Direct distribution methodb)Step methodc)Reciprocal service methodd)Repeated distribution methodCorrect answer is option 'C'. Can you explain this answer? covers all topics & solutions for B Com 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Which method of re-distribution considers interdepartmental services in distributing the expenses of service departments?a)Direct distribution methodb)Step methodc)Reciprocal service methodd)Repeated distribution methodCorrect answer is option 'C'. Can you explain this answer?.
Which method of re-distribution considers interdepartmental services in distributing the expenses of service departments?a)Direct distribution methodb)Step methodc)Reciprocal service methodd)Repeated distribution methodCorrect answer is option 'C'. Can you explain this answer? for B Com 2024 is part of B Com preparation. The Question and answers have been prepared according to the B Com exam syllabus. Information about Which method of re-distribution considers interdepartmental services in distributing the expenses of service departments?a)Direct distribution methodb)Step methodc)Reciprocal service methodd)Repeated distribution methodCorrect answer is option 'C'. Can you explain this answer? covers all topics & solutions for B Com 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Which method of re-distribution considers interdepartmental services in distributing the expenses of service departments?a)Direct distribution methodb)Step methodc)Reciprocal service methodd)Repeated distribution methodCorrect answer is option 'C'. Can you explain this answer?.
Solutions for Which method of re-distribution considers interdepartmental services in distributing the expenses of service departments?a)Direct distribution methodb)Step methodc)Reciprocal service methodd)Repeated distribution methodCorrect answer is option 'C'. Can you explain this answer? in English & in Hindi are available as part of our courses for B Com.
Download more important topics, notes, lectures and mock test series for B Com Exam by signing up for free.
Here you can find the meaning of Which method of re-distribution considers interdepartmental services in distributing the expenses of service departments?a)Direct distribution methodb)Step methodc)Reciprocal service methodd)Repeated distribution methodCorrect answer is option 'C'. Can you explain this answer? defined & explained in the simplest way possible. Besides giving the explanation of
Which method of re-distribution considers interdepartmental services in distributing the expenses of service departments?a)Direct distribution methodb)Step methodc)Reciprocal service methodd)Repeated distribution methodCorrect answer is option 'C'. Can you explain this answer?, a detailed solution for Which method of re-distribution considers interdepartmental services in distributing the expenses of service departments?a)Direct distribution methodb)Step methodc)Reciprocal service methodd)Repeated distribution methodCorrect answer is option 'C'. Can you explain this answer? has been provided alongside types of Which method of re-distribution considers interdepartmental services in distributing the expenses of service departments?a)Direct distribution methodb)Step methodc)Reciprocal service methodd)Repeated distribution methodCorrect answer is option 'C'. Can you explain this answer? theory, EduRev gives you an
ample number of questions to practice Which method of re-distribution considers interdepartmental services in distributing the expenses of service departments?a)Direct distribution methodb)Step methodc)Reciprocal service methodd)Repeated distribution methodCorrect answer is option 'C'. Can you explain this answer? tests, examples and also practice B Com tests.
|
|
Explore Courses for B Com exam
|
|
Suggested Free Tests
Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
|
© EduRev
|
Education Revolution
|
Follow Us
|
Signup to see your scores
go up within 7 days!
Access 1000+ FREE Docs, Videos and Tests
Takes less than 10 seconds to signup