6. Mackenzie Company uses a job costing system with four activity-based overhead pools: Cutting, allocated at $4.50
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6. Mackenzie Company uses a job costing system with four activity-based overhead pools: Cutting, allocated at $4.50 per cut; Molding, allocated at $25 per machine hour; Assembly, allocated at 30% of direct labor cost; and Packing, allocated at $1,000 per order. A recent order from Rose, Inc., used $10,000 in direct materials, $12,000 in direct labor, 500 cuts, and 800 machine hours.
Calculate the cost of the Rose, Inc., order before accounting for spoilage and rework.
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Mastering Managerial Accounting Key Concepts Through Problem Sets
ISBN: 9781626611184
1st Edition
Authors: Christine Denison
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