What does unit-level product costing assign?
A)It assigns direct materials and direct labour to products and assigns overhead to departmental pools,which are assigned to products using predetermined overhead rates based on unit-level drivers.
B)It assigns direct materials,direct labour,and overhead to departmental cost pools,which are assigned to products using predetermined overhead rates based on unit-level drivers.
C)It assigns direct materials and direct labour directly to products and assigns overhead to departmental pools,which are assigned to products using predetermined overhead rates based on non-unit-level drivers.
D)It assigns direct materials,direct labour,and overhead to departmental cost pools,which are assigned to products using predetermined overhead rates based on non-unit-level drivers.

Question

Quizplus · Accepted Answer

Unit-level product costing assigns direct materials and direct labor directly to products and allocates overhead to departmental pools, which are then assigned to products using predetermined overhead rates based on unit-level drivers. This method is focused on activities that vary with the number of units produced.

What Does Unit-Level Product Costing Assign