Solution-Which never allocated to operating departments

Question 1: Which of the following is NOT likely to happen if the costs of support departments are never allocated to operating departments?

Group of answer choices

Option 1: Support departments may not control their service costs and quality efficiently.

Option 2: Product costs would be understated.

Option 3: GAAP requirements may not be met.

Option 4: User departments are more likely to outsource their needed services externally.

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Which never allocated to operating departments : Which of the following is NOT likely to happen if the costs of support departments are never allocated to operating departments?

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