Asked by NIDHI THOMAS on Apr 28, 2024
Verified
The single plantwide overhead rate method is very expensive to apply.
Plantwide Overhead Rate
A single overhead rate computed by dividing total factory overhead by a base, applied throughout an entire manufacturing plant.
- Learn the core concepts and assumptions behind the single plantwide factory overhead rate method.
Verified Answer
MM
Megan MowryMay 02, 2024
Final Answer :
False
Explanation :
The single plantwide overhead rate method is relatively simple and less expensive to apply compared to more complex costing methods like activity-based costing, as it allocates overhead costs based on a single base or driver.
Learning Objectives
- Learn the core concepts and assumptions behind the single plantwide factory overhead rate method.