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Pacific Steel Corporation uses a predetermined overhead rate to apply manufacturing overhead to jobs. The predetermined overhead rate is based on labor cost in Department

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Pacific Steel Corporation uses a predetermined overhead rate to apply manufacturing overhead to jobs. The predetermined overhead rate is based on labor cost in Department A and based on machine hours in Department B. At the beginning of the year, the company made the following estimates: Total direct labor cost Total manufacturing overhead Total direct labor-hours Total machine-hours Department A 60,000 90,000 6,000 Department 40,000 45,000 9,000 15,000 2,000 What predetermined overhead rates would be used in Department A and Department B, respectively Multiple Choice ( 67% and $5.00 67. And Activate Windows

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