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Amazon has 4 costs which make up its total overhead. The budgeted overhead costs at a level of 10 labor hours are as follows: Cost
Amazon has 4 costs which make up its total overhead. The budgeted overhead costs at a level of 10 labor hours are as follows: Cost 1 is $10,000, Cost 2 is $20,000, and Cost 3 is $30,000, Cost 4 is $40,000. Cost 1 and 3 are variable costs, Cost 2 is a mixed cost, and Cost 4 is a fixed cost. At a level of 20 labor hours, the company would have a predetermined overhead rate of $2.00. What is amount of Cost 3 at a level of 20 labor hours.
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