Question

please tell me is it true or false im doing my exam

Allocations of corporate headquarters expenses to divisions used in return on investment calculations should be limited to the cost of those actual services provided by central headquarters, which the divisions otherwise would have to provide for themselves Select one O True Es page 1st page e Type here to search o ESC CE स D 7 2 3 4 8 9 0 VA *5 T Q W E 70 Y U o Р 1 DIA Caps Lock Verr. Moj А. S D F Н. J К. L 7 Ν. X Х С V B N М. Fo Alt Alt Car Chil 1 7

Answer 1

Ans. The statement is true.

For calculating divisions RoI, only those expenses related to divisions should be taken into account. Headquarters expenses should only be taken to the extent of actual services provided by central headquarters which divisions have to otherwise provide by themselves.