The Proration Approach to Allocating Overapplied or Underapplied Overhead Adjusts

question 122

True/False

The proration approach to allocating overapplied or underapplied overhead adjusts individual job-cost records.

---

Definitions:

Extreme

Relating to values that are farthest from the mean or median in a data set, often considered outliers.

Z Score

A calculation used to express the difference of a particular value from a group's mean, in terms of how many standard deviations away it is.

T Score

A standardized score that indicates how many standard deviations an element is from the mean of its distribution.

Z Scores

Standard scores indicating how many standard deviations an element is from the mean.