Assigning Manufacturing Overhead Cost to Activity Pools Is Referred to as First-Stage

question 42

Multiple Choice

Assigning manufacturing overhead cost to activity pools is referred to as first-stage allocation because

• A)Costs are assigned first to the activity pools before being assigned to cost objects.
• B)Costs are assigned first to the activity pools before being assigned to cost drivers.
• C)Costs are assigned first to the activity pools before being assigned to activity drivers.
• D)Costs are assigned first to the activity pools before being assigned to activity objects.

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