The point was made above that it would normally be irrational to prefer one basis of charging
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The point was made above that it would normally be irrational to prefer one basis of charging overheads to jobs simply because it apportions either a higher or a lower amount of overheads to a particular job. This is because the total overheads are the same irrespective of the method of charging the total to individual jobs. Can you think of any circumstances where it would not necessarily be so irrational?
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This might apply where for a particular job a customer has agreed to pay a price bas...View the full answer
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Related Book For 
Accounting An Introduction
ISBN: 9780273733201
5th Edition
Authors: Eddie McLaney, Dr Peter Atrill, Eddie J. Mclan
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