What is a component of the overhead rates of the traditional functional-based product costing?
A)non-unit-based activity drivers
B)unit-based activity drivers
C)process costing
D)job order costing

Question

Quizplus · Accepted Answer

Unit-based activity drivers are a component of the overhead rates of traditional functional-based product costing. This method assigns overhead costs based on a predetermined rate per unit of product, which is determined by allocating total overhead costs to a specific activity base, such as direct labor hours or machine hours. Other options such as A, C, and D do not apply to traditional functional-based product costing.

What Is a Component of the Overhead Rates of the Traditional