The quality of goods are measured with the usefullness of the goods to the consumer and how much he is willing is pay for the product is etermined by the utility of goods to the consumer. Higher amount is paid for the goods, which has higher utility to the consumer and it also define quality to the consumer. Price and utility of product remain the main determinant for the quality.
Value of price paid is determined by utility or usefulness of the product for each dollar paid to buy it.
<span>Tests of controls and substantive tests for sales are types of tests used in an auditing system. The auditor is attempting to validate whether or not financial statements can be legitimized or whether or not they have failed in legitimacy. Tests of controls can include examining documents, whereas substantive tests include a test that looks for mistakes in financial balances or statements.</span>
An organization's overhead charge is set at $14 for each machine hour. job are 846 and uses 27.5 machine hours. overhead allocated to job 846 will be $385.
<h3>What Is the Overhead Rate?</h3>
A cost associated with the creation of a good or service is the overhead rate. The cost of the corporate headquarters is an example of an overhead expense that is not directly tied to output. In order to distribute or allocate the overhead costs depending on particular metrics, an overhead rate is applied to the direct production-related costs. Allocation factor plus indirect expenses equals overhead rate. The overhead rate is determined based on a specified time frame. Therefore, adding up your weekly indirect or overhead costs would allow you to calculate the indirect costs for a week.