Common cost,”A cost that is incurred to support a number of cost objects but that cannot be traced to the individually. For example, the wage cost of the pilot of a 747 airliner is a common cost of all the passengers on the aircraft. Without the pilot

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Common cost,”A cost that is incurred to support a number of cost objects but that cannot be traced to the individually. For example, the wage cost of the pilot of a 747 airliner is a common cost of all the passengers on the aircraft. Without the pilot

there would be no flight and no passengers. But no part of the pilot’s wage is caused by any one passenger taking the flight.”