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"State which of the following are the characteristics of service costing.1. High levels of indirect costs as a proportion of total costs2.…

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"State which of the following are the characteristics of service costing.1. High levels of indirect costs as a proportion of total costs2. Use of composite cost units3. Use of equivalent units"
  • A(1) only
  • B(1) and (2) only
  • C(2) only
  • D(2) and (3) only
Correct answer: B
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Discussion 1

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CCommunity
(1) and (2) only

The following that are the characteristics of service costing are High levels of indirect costs as a proportion of total costs and Use of composite cost units.