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Why Do Organizations Use Budgeted Rates Instead of Actual Rates

question 112

Essay

Why do organizations use budgeted rates instead of actual rates to allocate the costs of support departments to each other and to user departments and divisions? Explain.


Definitions:

Mortgage

A loan secured by the collateral of specified real estate property, where the borrower is obliged to make a predetermined set of payments to the lender.

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