Multiple Choice
Which of the following is a disadvantage of the departmental overhead rate method?
A) The departmental overhead rate method assigns overhead on the basis of volume-related measures.
B) The departmental overhead rate method is more refined than the plantwide overhead rate method.
C) The departmental overhead rate method does not assign overhead on the basis of volume-related measures.
D) The departmental overhead rate method is simpler and less costly to implement than the plantwide rate method.
E) There are no disadvantages of the departmental overhead rate method.
Correct Answer:
Verified
Correct Answer:
Verified
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