Question
Hernandez Manufacturing is trying to calculate budgeted fixed overhead cost per output unit. The following details are available: Estimated machine-hours required 16,000 hrs Estimated labour-hours
Hernandez Manufacturing is trying to calculate budgeted fixed overhead cost per output unit. The following details are available:
Estimated machine-hours required | 16,000 hrs |
Estimated labour-hours required | 24,000 hrs |
Budgeted total costs in fixed overhead cost pool | $2,800,000 |
Budgeted total production in units | 20,000 |
What is the budgeted fixed overhead cost per unit of cost-allocation base (machine-hours)?
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Principles of Economics
Authors: Robert Frank, Ben Bernanke
5th edition
73511404, 978-0073511405
