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Departmental contribution to overhead is calculated as the amount of sales of the department less: Direct and indirect costs. Product and period costs. Direct expenses. Controllable costs. Joint costs.

Respuesta :

Answer:

Direct expenses.

Explanation:

The departmental contribution is determined by deducting the direct expense from the amount of sales  

In mathematically,

The following formula should be used  

Departmental contribution = Department revenues - direct expense

Here The expenses to be - rent, utilities, taxes, insurance, etc

ANd, It is arrive after paying off the direct expenses that related to the overhead.

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