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Baker Hughes Company uses a job-order costing system to track the costs of producing semiconductors in its Fabrication and Assembly Departments. Estimated overhead for the
Baker Hughes Company uses a job-order costing system to track the costs of producing semiconductors in its Fabrication and Assembly Departments. Estimated overhead for the Fabrication Department is $450,000 and is allocated using machine hours. The estimated overhead for the Assembly Department is $875,000 and will be allocated on the basis of direct labor cost. The following budget data are provided:
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