A Product That Is Fundamentally Different Yet Serves the Same

question 28

Multiple Choice

A product that is fundamentally different yet serves the same function or purpose as another product best defines the term ________.

• A)threat
• B)substitute
• C)opportunity
• D)rivalry

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Definitions:

Overhead Applied

The amount of overhead cost allocated to produced goods, based on a predetermined overhead rate.

Overhead Applied

A costing method that assigns an estimated amount of factory overhead costs to individual units of production based on a predetermined rate.

Job P513

A specific project, order, or batch identified by the code P513 within a job costing system.

Predetermined Overhead Rate

An estimated rate used to allocate manufacturing overhead to individual jobs or products.