Examlex
Cost behavior refers to the manner in which:
Predetermined Factory Overhead Rate
An estimated rate used to allocate manufacturing overhead costs to individual units of production, based on a standard cost system.
Estimated Total Factory Overhead Costs
The projected total of all indirect expenses related to the production process, including indirect labor, materials, and other overhead costs.
Estimated Activity Base
A projected measure of activity, such as labor hours or machine hours, used for allocating overhead costs in budgeting and costing.
Predetermined Overhead Rate
A rate calculated at the beginning of a period, used to allocate estimated overhead costs to products or services.
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