Question: Short and simple 6.5 Why arent common fixed costs allocated to segments under the contribution approach? 616 How is it possible for a fixed cost

Short and simple

  1. 6.5 Why arent common fixed costs allocated to segments under the contribution approach?

  2. 616

    How is it possible for a fixed cost that is traceable to a segment to become a common fixed cost if the segment is divided into further segments?

  3. 617

    Should a company allocate its common fixed costs to business segments when computing the break-even point for those segments? Why?

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