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Overhead Applied to Jobs, Departmental Overhead Rates Xania Inc. uses a normal job - order costing system. Currently, a plantwide overhead rate based on machine
Overhead Applied to Jobs, Departmental Overhead Rates
Xania Inc. uses a normal joborder costing system. Currently, a plantwide overhead rate based on machine hours is used. Xania's plant manager has heard that departmental overhead rates can offer significantly better cost assignments than a plantwide rate can offer. Xania has the following data for its two departments for the coming year:
tableDepartment ADepartment BOverhead costs expected$$
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