Question
Printex Printers has contracts to complete weekly supplements required by forty-six customers. For the year 2021, manufacturing overhead cost estimates total $504,000 for an annual
Printex Printers has contracts to complete weekly supplements required by forty-six customers. For the year 2021, manufacturing overhead cost estimates total $504,000 for an annual production capacity of 12 million pages. For 2021 Printex Printers has decided to evaluate the use of additional cost pools. After analyzing manufacturing overhead costs, it was determined that number of design changes, setups, and inspections are the primary manufacturing overhead cost drivers. The following information was gathered during the analysis:
Using the three cost pools to allocate overhead costs, what is the total manufacturing overhead cost estimate for Journal Publishers during 2021?
2,116
4,116
3,396
996
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