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27 August, 10:23

When selecting a volume-based cost driver, the goal is to: a. Choose a period where a cost driver is at a low level so that overhead costs will be at a low level. b. None of these are goals when selecting a volume-based cost driver. c. Eliminate complexity by using a plantwide overhead rate for all of a firm's products. d. Choose labor hours for a computer-integrated manufacturing processes. e. Choose an input that varies in a pattern that is most similar to the pattern with which overhead costs vary

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  1. 27 August, 10:27
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    Answer: The correct answer is "e. Choose an input that varies in a pattern that is most similar to the pattern with which overhead costs vary".

    Explanation: When selecting a volume-based cost driver, the goal is to: Choose an input that varies in a pattern that is most similar to the pattern with which overhead costs vary, so that it does not find so much difference between both patterns, so that these are similar.
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