In the dual method of allocation, fixed costs should be allocated using budgeted cost rates times the actual cost driver level.

Name: In the dual method of allocation, fixed costs should be allocated using budgeted cost rates times the actual cost driver level.
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In the dual method of allocation, fixed costs should be allocated using budgeted cost rates times the budgeted cost driver level, not the actual cost driver level. This is because fixed costs do not change with changes in the cost driver level.

In the Dual Method of Allocation, Fixed Costs Should Be