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Department Details: Department C: Direct Costs: $800,000 Indirect Costs: $450,000 Allocation Base: Direct Labor Hours (DLH) DLH Used: 40,000 Department D: Direct Costs: $750,000 Indirect
Department Details:
- Department C:
- Direct Costs: $800,000
- Indirect Costs: $450,000
- Allocation Base: Direct Labor Hours (DLH)
- DLH Used: 40,000
- Department D:
- Direct Costs: $750,000
- Indirect Costs: $400,000
- Allocation Base: Machine Hours (MH)
- MH Used: 35,000
Requirements:
- Allocate overhead costs to Department C and Department D using their respective allocation bases.
- Calculate the total cost for each department.
- Present the overhead allocation in a table format.
- Analyze the impact of overhead allocation on departmental performance.
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