Allocations of Overhead Should Not Affect a Project's Incremental Cash

question 75

Multiple Choice

Allocations of overhead should not affect a project's incremental cash flows unless the:

• A) project actually changes the total amount of overhead expenses.
• B) overhead will not be recovered at the end of the project.
• C) overhead is not currently fully allocated to existing projects.
• D)accountant is required to allocate costs to this project.