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Sagot :
Atn) cost driver overhead rate cost pool Oproduct activity is one that has a direct causal connection to the resources used. cost Driver refers to the activity that causes a change in the cost.
Your cost drivers are all the things you do that you have to pay for in order to produce your product. Your cost drivers are separated into groupings of associated costs by your cost pools.
A causative factor, commonly referred to as an activity cost driver, affects how much an activity costs. A change in the price of warehousing or the volume of output are two examples.
The direct reason of a cost is known as a cost driver, and it has an impact on the overall cost incurred. For instance, the number of units consumed determines the total electricity bill if you need to calculate how much electricity was used during a specific time period.
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