Explain the Specific Objectives of Internal Control

question 29

Essay

Explain the Specific objectives of internal control?

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Definitions:

Activity Cost Pool

A collection of costs assigned to specific activities based on their use of resources in a process costing system.

Factory Overhead Rate Method

This method allocates indirect manufacturing costs based on a predetermined rate to products or job orders.

Allocation Base

A measure or quantity, such as labor hours or machine hours, used to assign costs to activities or objects.

Machine Hours

A measure of the total time machines are operational within a specific period, often used in activity-based costing or allocation.