Which Two Factors from the Master Budget Are Used to Calculate

question 60

Multiple Choice

Which two factors from the master budget are used to calculate the predetermined overhead rate for manufacturing overhead?

• A) Annual production volume and annual direct labor hours
• B) Annual direct labor hours and annual variable manufacturing overhead
• C) Annual sales volume and annual total manufacturing overhead
• D) Annual direct labor hours and annual total manufacturing overhead

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Definitions:

Feedback

Information about reactions to a product, a person's performance, or a process, which is used as a basis for improvement.

Ergonomics

The study of people's efficiency in their working environment, especially designed to minimize physical strain and optimize productivity.

Compensation Schemes

Programs or plans designed to provide payment, benefits, or rewards to employees or agents, typically based on performance or tenure.

Levels Of Illumination

The measure of the intensity of light available in a particular area, expressed in units such as lux or foot-candles, critical for visual comfort and performance.