Q670
Spread of over allocated overhead and under allocated overhead among work in process, finished goods and goods sold cost is classified as
A.
proration approach
AnswerB.
appreciation approach
C.
depreciation approach
D.
adjusted approach
Answer: Option A
Solution
Answer: Option A
Solution:
Spread of over allocated overhead and under allocated overhead among work in process, finished goods and goods sold cost is classified as proration approach.