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could use some help double checking my work Assume a company has two manufacturing departments - Assembly and Fabrication. The company considers all of its
could use some help double checking my work
Assume a company has two manufacturing departments - Assembly and Fabrication. The company considers all of its manufacturing overhead costs to be fixed costs. The first set of data below is budgete data for the company as a whole that was estimated at the beginning of the year. The second set of data below is actual data for the company as a whole that was derived at the end of the year. The third set of data relates to one particular job completed during the year-Job Z. Budgeted Data Manufacturing overhead costs Direct labor hours Machine hours Assembly $ 300,000 25,000 10,000 Fabrication $ 400,000 15,000 50,000 Actual Data Manufacturing overhead costs Direct labor hours Machine hours Assembly $ 330,000 27 , 10,500 Fabrication $ 38 , 16 , 48,000 Job z Assembly Fabrication Direct labor hours 10 hours 2 hours Machine hours 1 hour 7 hours If the company uses a plantwide approach for applying overhead to production with direct labor-hours as the allocation base, what would be the company's plantwide predetermined overhead rate? $16.51 $11.67 $12.67 $17.50 Step by Step Solution
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