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a)Compute a predetermined overhead rate based on the information provided. Assume the company applies overhead on the basis of direct labor hours b)Compute the total

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a)Compute a predetermined overhead rate based on the information provided. Assume the company applies overhead on the basis of direct labor hours

b)Compute the total product cost for both the deluxe and tourist models using the predetermined overhead rate you calculated in part (a).

c)Assume the company uses activity-based costing (ABC). Compute the activity rate (overhead rate)for each of the activities identified above.

d)Using the overhead activity rates computed in [c], determine overhead applied to each product using ABC

e) Based on the overhead rate computed in (d), determine the product cost for each product using ABC.

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