The Traditional Overhead Cost Allocation System Focuses the Accumulation of Overhead

question 39

Multiple Choice

The traditional overhead cost allocation system focuses the accumulation of overhead cost on:

• A) Cost pools
• B) Cost drivers
• C) Products
• D) Pool rate

---

Definitions:

Gestalt Psychology

A theory of mind which posits that psychological phenomena must be viewed as organized, structured wholes (Gestalts) rather than the sum of their parts.

Principle

A fundamental truth or proposition that serves as the foundation for a system of belief or behavior or for a chain of reasoning.

Stirrup

A small bone in the ear that helps transmit sound vibrations to the inner ear; also known as the stapes.

Oval Window

A membrane-covered opening that leads from the middle ear to the cochlea in the inner ear, transmitting sound vibrations to the inner ear.