If budgeted annual indirect cost is $60000, budgeted annual quantity of cost allocation base is $3600, then budgeted indirect cost rate will be
A. 15.67 per piece
B. 16.67 per piece
C. 14.67 per piece
D. 13.67 per piece
Answer: Option B
Solution(By Examveda Team)
Budgeted indirect cost rate = Budgeted annual indirect cost ÷ Budgeted annual quantity of cost allocation= $60000 ÷ $3600 = 16.67 per piece
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