Why would some prefer to use normal activity rather than expected actual activity to compute a predetermined

Question:

Why would some prefer to use normal activity rather than expected actual activity to compute a predetermined overhead rate?

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Cost Management Accounting and Control

ISBN: 978-0324559675

6th Edition

Authors: Don R. Hansen, Maryanne M. Mowen, Liming Guan

See More Books

Question Posted: Mar 29, 2012 03:49 AM

See More Questions

8(ppm) = (i) 0.92 (3H, d, J = 7.0 Hz) 1.14 (6H, s) 1.18 (1H, dd, J = 13.3, 10.0 Hz) 1.25 (1H, dd, J = 13.3, 2.1 Hz) 1.54 (1H, m) 2.00 (1H, ddd, J = 13.5, 11.3, 10.0 Hz) 2.33 (1H, ddd, J = 13.5, 6.6,...
Why must a company prepare a predetermined overhead rate when using job order cost accounting?
Lund products, Inc., uses a predetermined overhead rate in its production, assembly, and testing departments. One rate is used for he entire company; it is based on machine hours. The rate is...
Which properties of the Clean annotation must be true for the following to compile? (Choose three.) A. The annotation must contain exactly one element. B. The annotation must contain an element named...
Nadia donates $4,000 to Eastern University's athletic department. The payment guarantees that Nadia will have preferred seating near the 50-yard line. a. Assume that Nadia subsequently buys four $100...
Steph Gates, sales manager of Pluto Computers Ltd, was given the following budget performance report for selling expenses in the marketing software department for the month of April 2017. The...
Why is duration important?
EBV is considering a $5M Series A investment in Newco. EBV proposes to structure the investment as 6M shares of convertible preferred stock. The employees of Newco have claims on 10M shares of common...
12. If the velocity-time graph has the shape AMB, what would be the shape of the corresponding acceleration-time graph? (A) a (B) (C) A (D) a A M B time(t)
On January 1, the Wiek Company contracted with its president, T. Mae, to make a single deposit immediately to establish a fund with a trustee that pays Mae $40,000 per year for each of the three...
Define the following terms: expected actual activity, normal activity, practical activity, and theoretical activity.
When computing a predetermined overhead rate, why are units of output not commonly used as a measure of production?
As shown in Fig. 3-11(a), an object of mass m is supported by a cord. Find the tension in the cord if the object is (a) At rest, (b) Moving at constant velocity, (c) Accelerating upward with...
Using your anticipated entry-level take-home pay, calculate the maximum nonmortgage debt payment that you cansafely handle. What are the implications given your actual or anticipated debt for credit...
Visit the FAFSA Web site (www.fafsa.ed.gov) to learn about the different student loans available through the government. How do you qualify for federal loans? Using FAFSA's online calculator,...
If the marginal product of labor is 2 units of output per day per worker for the first five workers and 0 units of output for the sixth worker onward, draw the total product curve, the average...
Suppose that the cost function curve for a natural monopoly is $C(Q)=48+6 Q$ and the inverse demand function it faces is $p=38-2 Q$. What are the firm's maximum profits if it cannot price...
Collect five pages of writing you have prepared for college courses. Now review Ten Ways to Make Your Writing Easier to Read. Mark places in your writing where you have had problems with those...
The Accra Beach Hotel and Resort had a prime beachfront location on the south coast of Barbados, just a short distance from the airport and the capital city of Bridgetown. Located on 3 acres of...
Vince, Inc. has developed and patented a new laser disc reading device that will be marketed internationally. Which of the following factors should Vince consider in pricing the device? I. Quality of...
Do you believe that there is one set of HR practices that can be used by an organization, regardless of the context the organization operates in?
1. With ABC, overhead costs should be traced to which cost object first? a. Units of product b. Activities c. Departments d. Product lines 2. When using departmental overhead rates, which of the...
Rayol produces lamps and home lighting fixtures. Its most popular product is a brushed aluminum desk lamp. This lamp is made from components shaped in the fabricating department and assembled in its...
Real Cool produces two different models of air conditioners. The company produces the mechanical systems in their components department. The mechanical systems are combined with the housing assembly...
15.5 kg is moving due east with a speed VA = 7.80 m/s, while object (B) of mass mB = 30.0 kg is moving in a direction that makes angle of 58 north of east with a speed VB = 5.20 m/s. The two objects...
An object is launched horizontally from the top of a cliff with an initial speed of 1 5 m / s . When the obiect has traveled a horizontal distance of 4 0 meters, how far below the launch point is the...
200 cubic metres of hot humid air are being cooled. The original air is at 33.5 degrees Celsius and has a relative humidity of 70%. It is cooled to 20 degrees Celsius. How much water condenses from...

Why would some prefer to use normal activity rather than expected actual activity to compute a predetermined

Question:

Step by Step Answer:

Assignment using normal activity prod...View the full answer

Cost Management Accounting and Control

Students also viewed these Managerial Accounting questions