why should manufacturing overhead be allocated to a job even

why should manufacturing overhead be allocated to a job even though the costs cannot be directly traced to a job

Solution

Manufacturing may involve various stages that have not been considered while planning and therefore such states may incur a cost to the othanization, therefore in each and every job, there is a manufacturing overhead cost is allocated to maintain the such unplanned costs. Costs generally in such cases cannot be directly traced to a job and that is the reason this overhead allocation is quite important so that organizations do not have to go through unplanned issues or experience the same as well.


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