The term "normal costing" refers to the use of:
A) job-costing systems.
B) computerized accounting systems.
C) targeted overhead rates.
D) predetermined overhead rates.
E) actual overhead rates.

Question

Quizplus · Accepted Answer

Normal costing uses predetermined overhead rates to allocate overhead costs to products or job orders, rather than using actual overhead rates which are determined at the end of the accounting period.

The Term "Normal Costing" Refers to the Use Of