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Dis - knee, a manufacturing company, uses activity - based costing to allocate overhead costs. The company has identified two activities, Handling and Packaging, with
Disknee, a manufacturing company, uses activitybased costing to allocate overhead costs. The company has identified two activities, Handling and Packaging, with estimated overhead costs of $ and $ respectively. Handling uses direct labor hours as a cost driver, while Packaging uses machine hours as a cost driver. The estimated total direct labor hours for Handling is hours, and the estimated total machine hours for Packaging is hours. The company expects to product units of Leggo Figurines, which requires direct labor hours and machine hours per unit. Calculate the overhead cost per Leggo Figurine using activitybased costing.
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