Reciprocal service department cost allocation and decision making 外文参考文献.docVIP

RECIPROCALSERVICEDEPARTMENTCOST ALLOCATIONANDDECISIONMAKING FRANKLINLOWENTHALANDMASSOUDMALEK Received12June2001andinrevisedform10August2004 Inamanufacturing company,certain departments can becharacterized asproduction departments and others as service departments. Examples of service departments are purchasing, computingservices, repairandmaintenance, security,foodservices, andso forth.Thecostsofsuchservicedepartmentsmustbeallocatedtotheproductiondepart- ments, which inturn will allocate them totheproduct. Itisknown thatonecanview thecostallocationproblemasanabsorbingMarkovprocess,withthep