Which of the following is NOT a characteristic of service costing?
A、High levels of direct costs as a proportion of total costs
B、Intangibility of output
C、Use of composite cost units
D、Can be used for internal services as well as external services
A、High levels of direct costs as a proportion of total costs
B、Intangibility of output
C、Use of composite cost units
D、Can be used for internal services as well as external services
【参考答案及解析】
For most services it is difficult to identify many attributable direct costs. A high level of indirect costs must be shared over several cost units, therefore option A is not a characteristic of service costing.
For most services it is difficult to identify many attributable direct costs. A high level of indirect costs must be shared over several cost units, therefore option A is not a characteristic of service costing.