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If this could be explained how to do it as well that would be great. I cannot find any explanation or examples in my textbook.
If this could be explained how to do it as well that would be great. I cannot find any explanation or examples in my textbook.
A company has traditionally allocated its overhead based on machine hours but had collected this information to change to activity-based costing: Estimated Activity Activity Center Product 1 Product 2 Estimated Cost Machine Setups 15 45 $11,400 Assembly Parts 1,500 1,500 72,600 Packaging Pieces 250 200 27,900 Machine Hours per Unit 4 3 Production Volume 750 1,500 A. How much overhead would be allocated to each unit under the traditional allocation method? Round your answers to two decimal places. Product 1 Product 2 Allocation per unit $ $ B. How much overhead would be allocated to each unit under activity-based costing? Round your answers to two decimal places. Product 1 Product 2 Allocation per unit $ $Step by Step Solution
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