A.
When there is a separate rate for individual cost centre
B.
When there is one single overhead rate for the whole factory
C.
When there is one overhead cost for a unit or department
D.
When there is a separate rate for each department
Description
Blanket overhead rate refers to the computation of one single overhead rate for the whole factory. It is used in factories producing only one major product in a continuous process or where the work performed in every department is fairly uniform or standardised. While in a departmental overhead rate it refers to a separate rate for each cost centre or department.
