True or False? The Direct Method is the method of cost allocation that uses simultaneous linear equations to allocate the costs of two or more service centers to each other.

True or False? The direct costs of a product line or segment can usually be traced to that product line or segment.

True or False? In each stem of the Direct Method of cost allocation, costs of any service department or cost pool are allocated only to other service departments or cost pools, but never to production departments.

True or False? Costs should always be allocated on some arbitrary basis if the manager doing the allocating is ethical, well-trained, and well-informed regarding cost allocation.

True or False? The intermediate cost objective for a firm that produces a single tangible product is always the total cost of production of that product.

True or False? If a product line or producing segment is discontinued, its indirect costs also automatically disappear as well.