In a normal cost system,which of the following is used?
A)yes no yes
B)yes yes yes
C)yes yes no
D)no yes no

Question

In a normal cost system,which of the following is used? 
A)yes no yes 
B)yes yes yes 
C)yes yes no 
D)no yes no

Quizplus · Accepted Answer

In a normal cost system, actual costs are recorded in the accounting system, but are then allocated using predetermined overhead rates. This means that both actual costs and allocated costs are used in the system, making choices A and B incorrect. Therefore, the correct answer is C, where actual costs are used (yes) but allocated costs are not based solely on actual usage (no).

In a Normal Cost System,which of the Following Is Used