The cost pool is homogeneous if all included activities have the same or similar cause-and-effects or benefits received relationships between the cost driver and the costs of the activity.

Question

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Homogeneous cost pool refers to a group of costs that have the same cost driver and cause similar effects or benefits on the organization. In other words, the costs in the pool are related to each other and can be allocated using a single cost driver.

The Cost Pool Is Homogeneous If All Included Activities Have