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Balakrishnan & Company uses job-order costing with a company-wide pre-determined overhead rate. The firm uses direct labor hours as a cost driver. The firm budgets
Balakrishnan & Company uses job-order costing with a company-wide pre-determined overhead rate. The firm uses direct labor hours as a cost driver. The firm budgets the following for a future period.
Direct materials: $500
Direct labor: $700
Direct labor hours: 200 hours
Manufacturing supervisor salary: $500
Factory utilities: $250
Factory supplies: $400
What is the firm's PDOH rate for this future period?
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