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Privott, Incorporated, manufactures and sells two products: Product 29 and Product NO. The company is considering adopting an activity-based costing system with the following
Privott, Incorporated, manufactures and sells two products: Product 29 and Product NO. The company is considering adopting an activity-based costing system with the following activity cost pools, activity measures, and expected activity: Activity Cost Pools: Activity Measures Labor-related DLRS Product testing Order size tests Estimated Overhead Cont $ 326,018 46,747 472,100 $844,873 6,600 500 Expected Activity Product 29 Product NO 3,200 600 Total 9,900 1,100 4,200 4,500 8,700 The activity rate for the Labor-Related activity cost pool under activity-based costing is closest to
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