Compared to the plantwide overhead rate method,the departmental overhead rate method usually results in more accurate overhead allocations.

Question

Quizplus · Accepted Answer

The departmental overhead rate method allocates overhead based on the specific activities and costs of each department, resulting in a more accurate allocation of overhead compared to the plantwide overhead rate method which uses a single predetermined overhead rate for the entire plant.

Compared to the Plantwide Overhead Rate Method,the Departmental Overhead Rate