Asked by
Kesha Slusher
on Nov 12, 2024
Verified
To calculate income from operations, total service department charges are
A) added to income from operations before service department charges
B) subtracted from operating expenses
C) subtracted from income from operations before service department charges
D) subtracted from gross profit margin
Service Department Charges
Costs allocated to the various service departments within an organization, such as IT or HR, which support the production departments.
Income from Operations
The earnings of a business from its core operations, excluding revenue and expenses from non-operational activities like investment gains or losses.
- Learn about the allocation process of service department expenses and other financial charges, and their effect on the performance levels of departments and the company overall.
Verified Answer
KB
Learning Objectives
- Learn about the allocation process of service department expenses and other financial charges, and their effect on the performance levels of departments and the company overall.
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