Assigning common fixed costs to segments impacts ______.

Question

04-03-2022
Business

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Assigning common fixed costs to segments impacts ______.

Sagot :

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Tundexi Tundexi · Answer 1 · 2022-03-17T05:52:14-04:00

Both the segment margin and total corporate profit are affected by the assigning of common fixed costs to segments

What is a Common Fixed cost?

A common fixed cost refers to a fixed cost which supports the firm activities of the different business segments.

Usually, it is very hard to separate the common fixed cost from each segment or unit.

In conclusion, the segment margin and total corporate profit are affected by the assigning of common fixed costs to segments.

Assigning common fixed costs to segments impacts ______.

Sagot :

What is a Common Fixed cost?

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