Which of the following are advantages of using the plantwide overhead rate method?
A)The use of cost pools is considerably more accurate than other overhead allocations.
B)The necessary information is readily available.
C)It is more accurate than traditional overhead allocations.
D)Each department has its own overhead rate and its own allocation base.
E)It takes into account that when products differ in batch size and complexity,they usually consume different amounts of overhead resources.

Question

Quizplus · Accepted Answer

The plantwide overhead rate method simplifies the allocation process by using a single overhead rate for the entire company, making the necessary information more readily available and easier to manage compared to methods that require multiple rates for different departments or activities.

Which of the Following Are Advantages of Using the Plantwide