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The Two Main Advantages of Using Predetermined Factory Overhead Rates

Question 17

Multiple Choice

The two main advantages of using predetermined factory overhead rates are to provide more accurate unit cost information and to:


A) Simplify the accounting process.
B) Provide cost information on a timely basis.
C) Insure transmission of correct data.
D) Extend the useful life of the cost data.
E) Adjust for variances in data sources.

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