Option B, The predetermined overhead allocation rate is based on actual costs.
Explanation:
The term "pre-set overall rate" refers to the allocation rate at the outset of a project, which is based on the expected cost of overhead output for a certain reporting period.
This rate is often used to make book closure quicker as it eliminates estimation of real overhead costs as part of the closing process at the end of the period. Nevertheless, at least at the end of every fiscal year, the disparity between the real and expected overhead sums must be reconciled.
The predetermined rate is derived by calculation as follows:
Estimated amount of manufacturing overhead to be incurred in the period ÷ Estimated allocation base for the period
Solution:
S1 $180,000 is allocated 70% to S2 or $126,000 ( 0.7 * 180,000 )
S2 total is $162,000 + $126,000 = $288,000
S2 $126,000 is allocated 19.7% to P2 or $81000
Under the step-method of cost allocation,
the amount of costs allocated from $2 to P2 would be $81000
Answer:
$175,808
Explanation:
P=R (1-(1+i)^-n)/i
Where P=780,000*90%=$702,000
R=?
i=8%
N=5 years
By putting above values in formula, we get
P=R(1-(1+.08)^-5)/.08
702,000=R*3.993
R=702,000/3.993
R=$175,808
Answer:
Corporate espionage.
Explanation:
Corporate espionage is the act of utilizing espionage techniques for business or financial purposes. We normally consider "espionage" regarding spies taking a shot at benefit of one government attempting to get data about another.
The what-if analysis tool would be the most adequate choice for intricate calculations that need contrived optimization:
b). Scenario manager
- 'What-if analysis tool' is described as the tools that are employed to alter the values present in the cells.
- It is done to observe the effect of changing the values impact the results produced by the used formula.
- The what-if analysis tools have been categorized into three distinct types:
- a). Scenarios.
- b). Goal Seek.
- c). Data Tables.
- As per the question, in order to opt for complex calculations, 'Scenarios' what-if analysis would be most adequate as they examine a number of variables and set of numbers/values that affect the outcome.
Thus, <u>option b</u> is the correct answer.
Learn more about 'what-if tool' here:
brainly.com/question/14830872
