Everything Else Remaining the Same,under What Situation Will APR and EAR

question 16

Essay

Everything else remaining the same,under what situation will APR and EAR be equal?

---

Definitions:

Machine-Hours

A measure of production time, referring to the total hours a machine is operated within a specific period.

Predetermined Overhead Rate

An estimated charge per unit of activity used to allocate manufacturing overhead costs to products.

Job-Order Costing

An accounting method used to track costs specifically associated with a given job or project.

Machine-Hours

A metric for the amount of time a machine is operated, used as a basis for allocating manufacturing overhead costs.