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QUESTION 2 Jung's company produces clothes and uses machine hours as the allocation base to allocate manufacturing overhead costs in Department 1 and direct labour

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QUESTION 2 Jung's company produces clothes and uses machine hours as the allocation base to allocate manufacturing overhead costs in Department 1 and direct labour costs in Department 2 to the various job contracted during the year. The company uses a normal costing system. Estimates are provided for the year for the company and actual amounts are given for Job 334 which required the production of dance dresses. Company budget Job 334 Department 1 Department 2 actual costs Direct materials 44,000 20,000 1,000 Direct labour EA tA to 11,000 10,000 200 Manufacturing overhead costs 30,000 40,000 Machine hours 100,000 1,200 What is the overhead allocation rate ($/cost allocation base) in Department 1? What is the overhead allocation rate ($/cost allocation base) in Department 2? What is the total cost of Job 334 under normal costing

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