Which types of overhead allocation methods result in the use of more than one overhead rate during the same time period?

Q: How does the planning of fixed overhead costs differ from the planning of variable overhead costs?

A: Variable cost: The cost which fluctuates on the basis of the output level produced. The variable…

Q: Explain the treatment of over and under absorption of overheads in cost accounts?

A: Overheads: These are defined as the expenses incurred in relation to an ongoing business. These are…

Q: Define the terms under-allocated and over-allocated overhead. What factors contribute to each…

A: Expenses associated with manufacturing overhead: "Manufacturing overhead costs, also known as…

Q: Explain the benefits of using a predetermined overhead rate instead of an actual overhead rate.

A:

Q: Is it possible to have under- or overapplied overhead costs in a process costing system? Explain.

A: Process Costing: Process costing is a method of cost accounting, which is used when the production…

Q: What is the standard variable overhead rate and standard fixed overhead rate?

A: The overhead rate is calculated by dividing total indirect costs (also known as overhead) for a…

Q: What adjustment is made for underapplied overhead on the schedule of CoGS? What adjustment is made…

A: Underapplied overhead is added to cost of goods sold thus increases the total cost of goods sold.

Q: What does the word "overhead application rate" mean?

A: Overhead is a term that refers to a continuous   The term "overhead application rate" refers to the…

Q: What are the two primary elements that influence the amount of overhead that is absorbed?

A: Whenever overheads are absorbed in a rate determined by objective data, the absorbed overhead should…

Q: what are the two main factors that give to over/under absorption of overhead ?

A: When overheads are absorbed in a rate depending on actual data, the absorbed overhead should be…

Q: What are non-unit level overhead activities? Non-unit based cost drivers? Give some examples.

A: Under Activity-based costing, different overhead activities are identified and the cost of all such…

Q: why is adjustment necessary for under and over absorption of overheads in the absorption costing…

A: Here discuss about the details of adjustment which are needed for the over and under absorption of…

Q: How do I calculate the overhead allocations?

A: Cost allocation: Cost allocation is a process of assigning or allocating indirect costs to each and…

Q: Why are fixed-overhead costs sometimes called capacity-producing costs?

A: Overhead costs Overhead cost or overhead expenses refer to the cost which is used to increase the…