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Madeline Manufacturing is a small textile manufacturer using machine-hours for the single indirect cost rate to allocate manufacturing overhead costs to the various jobs
Madeline Manufacturing is a small textile manufacturer using machine-hours for the single indirect cost rate to allocate manufacturing overhead costs to the various jobs contracted during the year. The following estimates are provided for the coming year for the company and for the Patterson High School Science Olympiad jacket job. Direct materials Direct manufacturing labour Manufacturing overhead costs Machine-hours Company $75,000 $45,000 $20,000 2,000 mh Patterson High School Job $2,500 $450 XX 12 mh Required: (10 marks) a. For Madeline Manufacturing, determine the annual manufacturing overhead cost-allocation rate. b. Determine the amount of manufacturing overhead costs allocated to the Patterson High School job. c. Determine the estimated total manufacturing costs for the Patterson High School job.
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