Biology Forums - Study Force

Which of the following statements are true?

1. The fact that one department may be labor intensive while another department is machine intensive explains in part why multiple predetermined overhead rates are often used in larger companies.

2. A company will improve job cost accuracy by using multiple overhead rates even if it cannot identify more than one overhead cost driver.

3. The appeal of using multiple departmental overhead rates is that they presumably provide a more accurate accounting of the costs caused by jobs.

Brewer 9e Rechecks 2021-11-02

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Only statement I is true.

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Statements I and III are true.

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Statements II and III are true.

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None of the statements are true.

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