In a standard cost system, overhead is applied to production on the basis of:
A. the denominator hours chosen for the period.
B. the actual hours required to complete the output of the period.
C. the standard hours allowed to complete the output of the period.
D. none of these.
Answer:C
In a standard cost system, overhead is applied to production on the basis of:
A. the denominator hours chosen for the period. B. the actual hours required to complete the output of the period. C. the standard hours allowed to complete the output of the period. D. none of these.