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    Introduction to Managerial Accounting Study Set 4
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    Exam 5: Activity-Based Costing
  5. Question
    Departmental Overhead Rates Applied on the Basis of a Volume
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Departmental Overhead Rates Applied on the Basis of a Volume

Question 9

Question 9

True/False

Departmental overhead rates applied on the basis of a volume measure such as direct
labour-hours or machine-hours will eliminate any distortions in unit costs due to product diversity.

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