Which of the Following Approaches Allocates Overhead by Multiplying a Predetermined

question 157

Multiple Choice

Which of the following approaches allocates overhead by multiplying a predetermined overhead rate × actual activity?

• A) Actual costing.
• B) Normal costing.
• C) Regression costing.
• D) Standard costing.

---

Definitions:

Classified Balance Sheet

A financial statement that groups assets, liabilities, and equity into subcategories, providing detail and clarity to financial positions.

Adjusted Trial Balance

A list of all ledger accounts and their final balances after adjustments have been made, used as the basis for preparing financial statements.

End-Of-Period Spreadsheet

A tool used in accounting to compile all account balances at the period's end, aiding in the preparation of financial statements.

Salaries Expense

The total amount paid to employees for services rendered over a specific period, recorded as an expense in financial accounting.