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Direct Method and Overhead Rates Jasmine Company manufactures both pesticide and liquid fertilizer, with each product manufactured in separate departments. Three support departments support the

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Direct Method and Overhead Rates Jasmine Company manufactures both pesticide and liquid fertilizer, with each product manufactured in separate departments. Three support departments support the production departments: Power, General Factory, and Purchasing. Budgeted data on the five departments are as follows Support Departments Liquid Power $80,000 1,500 General Factory Purchasing Pesticide Fertilizer $312,000 $169,000 Overhead Square feet Machine hours Purchase orders $78,500 4,200 24,000 120 $107,400 4,800 8,000 60 1,500 1,403 1,345 20 The company does not break overhead into fixed and variable components. The bases for allocation are power -machine hours; general factory-square feet, and purchasing-purchase orders. Required method. If required, round your 1. Allocate the overhead costs to the producing departments using the direct allocation ratios to four decimal places and round allocated costs to the nearest dollar and use the rounded values for the subsequent calculations. Cost assignment: Pesticide iquid Fertilizer 78,500 107,400 V Direct costs Power General Factory Purchasing Total Check My Work Previous

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