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The Formula for Calculating a Predetermined Indirect Cost Rate Is

Question 61

Multiple Choice

The formula for calculating a predetermined indirect cost rate is:


A) actual indirect costs/actual usage of the cost driver
B) budgeted indirect costs/actual usage of the cost driver
C) budgeted indirect costs/budgeted usage of the cost driver
D) actual indirect costs/budgeted usage of the cost driver

Correct Answer:

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