Answer (D) is correct . Common costs are the cost of products, activities, facilities, services, or operations shared by two or more cost objects. They are indirect costs because they cannot be traced to a particular cost object in an economically feasible manner. Hence, they must be allocated.
Answer (A) is incorrect because Direct costs can be traced to a particular cost object in an economically feasible manner.
Answer (B) is incorrect because Current cost is an attribute used to measure assets.
Answer (C) is incorrect because Controllable costs can be influenced by a particular manager.
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