A Firm's MIS Data Bank Should Include All Past and Current

question 128

True/False

A firm's MIS data bank should include all past and current data that may be useful in managing the firm.

---

Definitions:

Fixed Overhead Budget

A financial plan that forecasts the fixed overhead costs a company expects to incur, regardless of its level of output.

Fixed Overhead Volume

A measurement of the costs that remain constant regardless of the company's level of production or business activity.

Overapplied

In cost accounting, this refers to a situation where the allocated overhead costs exceed the actual overhead costs incurred.

Variable Overhead Rate

The per-unit cost of overhead that changes with the level of production or activity.