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Service department costs charged - PowerPoint PPT Presentation

Service Department Costing: An Activity Approach

Chapter 15. Service Department Costing: An Activity Approach. Operating Departments. Service Departments. Carry out the central purposes of an organization. Provide support to the operating departments. The Need for Cost Allocations.

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Allocation of Support Activity Costs and Joint Costs

18. Chapter Eighteen. Allocation of Support Activity Costs and Joint Costs. First, we identify the factor that drives costs in the service department. This cost driver is called the allocation base. How are service department costs charged to production departments?.

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Service department costs charged - PowerPoint PPT Presentation

Service Department Costing: An Activity Approach

Allocation of Support Activity Costs and Joint Costs