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9730721, 5:19 Pa ‘chapter 6- Deparmental Costing and Cost locaton Flashcards | Quizlet Chapter 6- Departmental Costing and Cost Allocation Terms in this set (10) Effective cost drivers should have which of the following characteristics? a. They should be perceived as being fair. b. They should create an incentive for cost reduction. c. They should create an allocation rate based on patient revenues. d. Statements a. and b. are both correct e. Statements a. and c. are both correct. d. Statements a. and b. are both correct. They should be perceived as being fair. & They should create an incentive for cost reduction. The goal (purpose) of cost allocation is to assign all overhead costs to the activities (primarily departments) that cause the costs to be incurred. a True b. False a. True Chapter 6- Departmental Costing and Cost Allocation hips: guile. com/282958746/chapler-6-departmenal-costing-and-cost-alocatior-lash-

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