Multiple choice

Directions: Choose the correct option for the given question.

The sales value method apportions the joint costs on the basis of principle of

  1. cost

  2. materiality

  3. what the traffic will bear

  4. consistency

  5. conservatism
Reveal answer Fill a bubble to check yourself
C Correct answer
Explanation

The sales value method allocates joint costs based on the relative market value of the products, which follows the principle of charging what the market will bear.

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