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The Budgeted Indirect-Cost Rate for Each Cost Pool Is Computed

Question 28

Multiple Choice

The budgeted indirect-cost rate for each cost pool is computed as ________.


A) budgeted annual indirect costs divided by budgeted annual quantity of cost allocation base
B) budgeted annual quantity of cost allocation base divided by budgeted annual indirect costs
C) actual annual indirect costs divided by budgeted annual quantity of cost allocation base
D) budgeted annual indirect costs divided by budgeted actual quantity of cost allocation base

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