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ABC Company applies an activity-based costing system with the following data for the month. Activity Cost Pools Estimated Overhead Cost Cost Driver Levels Purchase orders
ABC Company applies an activity-based costing system with the following data for the month.
Activity Cost Pools Estimated Overhead Cost Cost Driver Levels
Purchase orders 94,000 1,000 orders
Machine setups 120,000 200 setups
Electricity 80,000 160,000 kilowatt hours
Compute the activity-based overhead rate per machine setup.
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