Ask Question
13 February, 12:26

True or False: One reason to use a predetermined overhead rate is to eliminate the effect of seasonal factors.

+5
Answers (1)
  1. 13 February, 12:41
    0
    True

    Explanation:

    Predetermined overhead rate is estimated at the start of the period by dividing the estimated manufacturing overhead cost by an allocation base. Predetermined overhead rate is quite useful especially in eliminating seasonal effects. So, the above statement is a true one important reason to apply the predetermined overhead rate is to mitigate the effects of seasonal factors.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “True or False: One reason to use a predetermined overhead rate is to eliminate the effect of seasonal factors. ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers