Applying overhead to products means:

Question

Quizplus · Accepted Answer

Applying overhead to products involves assigning the overhead costs to the products based on a cost driver or activity that closely relates to the work performed. This method ensures that the overhead costs are allocated to the products fairly and accurately, rather than simply adding them up or passing them on to customers in the price charged. Directly tracing overhead costs to products is not always possible, as some costs are incurred for the benefit of the entire production process.

Applying Overhead to Products Means