Final answer:
The statement about calculating the actual indirect-cost rate by dividing actual total indirect costs by the actual total quantity of the cost-allocation base is true. It is a common practice in managerial accounting to allocate indirect costs to products or services.
Step-by-step explanation:
The statement that the actual indirect-cost rate is calculated by dividing actual total indirect costs by the actual total quantity of the cost-allocation base is true. This calculation is used in managerial accounting to assign indirect costs to cost objects. The actual indirect-cost rate helps businesses understand the cost incurred to produce a unit of product or service when indirect costs cannot be directly traced to the end product. For example, if a company has actual total indirect costs of $50,000 and the actual total quantity of the cost-allocation base (such as direct labor hours) is 5,000 hours, the actual indirect-cost rate would be calculated as follows:
Actual indirect-cost rate = Actual total indirect costs / Actual total quantity of the cost-allocation base
Actual indirect-cost rate = $50,000 / 5,000 hours = $10 per hour
This rate can then be applied to the cost objects based on their usage of the cost-allocation base, providing a way to distribute indirect costs equitably.