Why are departmental predetermined OH rates more useful for managerial decision making than plantwide OH rates? Why

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Why are departmental predetermined OH rates more useful for managerial decision making than plantwide OH rates? Why do firms use separate variable and fixed rates rather than total rates?

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Cost Accounting Foundations and Evolutions

ISBN: 978-1111626822

8th Edition

Authors: Michael R. Kinney, Cecily A. Raiborn

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Question Posted: Jul 24, 2012 02:30 AM

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Why are departmental predetermined OH rates more useful for managerial decision making than plantwide OH rates? Why

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Departmental overhead rates are superior to plantwide overhead rates in that ov...View the full answer

Cost Accounting Foundations and Evolutions

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