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Question Saddle Inc. has two types of handbags: standard and custom. The controller has decided to use a plantwide overhead rate based on direct labor
Question Saddle Inc. has two types of handbags: standard and custom. The controller has decided to use a plantwide overhead rate based on direct labor costs. The president has heard of activity based costing and wants to see how the results would differ if this system were used. Two activity cost pools were developed machining and machine setup. Presented belo Information related to the company's operations Standard Custom Direct labor costs 350,000 $100,000 Machine Hours 1.500 1.500 Setup hours 90 420 Total estimated overhead costs are 3312,000. Overhead cost allocated to the machining activity cost pool la 8210,000, and $100,000 is allocated to the machine setup activity trust pool Compute the overhead cate using the traditional Colontwide) approach. Toond answer to 2 decimal places, 09.12.23.) Predetermined overhead rate of direct labor cont Attempts of used BURBET ARCOWER
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