Selling a Division or Part of an Organization Is Called

question 119

True/False

Selling a division or part of an organization is called divestiture.

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Definitions:

Predetermined Overhead Rate

A rate used to allocate overhead costs to products or services, based on a predetermined activity level.

Manufacturing Departments

Sections in a manufacturing plant, each focusing on various parts of the manufacturing process.

Machine-Hours

The total hours that machinery is in operation during a production process.

Markup

The amount added to the cost price of goods to cover overhead and profit, determining the selling price.