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Boots an More Inc. uses activity-based costing to assist management in setting prices for the company's three major product lines. The following information is available:
Boots an More Inc. uses activity-based costing to assist management in setting prices for the company's three major product lines. The following information is available: Activity cost pool Estimated Overhead Expected use of cost driver per activity Cutting $900.00 25,000 labor hours Stitching 8000.00 320,000 machine hours Inspections 2800.00 160,000 labor hours Packing 800,000 64,000 finished goods units Compute the activity-based overhead rates.
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