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Required information [The following information applies to the questions displayed below.] Aztec Industries produces bread which goes through two operations, mixing and baking, before it
Required information
[The following information applies to the questions displayed below.] Aztec Industries produces bread which goes through two operations, mixing and baking, before it is ready to be packaged. Next year's expected costs and activities are shown below.
Mixing | Baking | ||||||
Direct labor hours | 419,000 | DLH | 99,000 | DLH | |||
Machine hours | 819,000 | MH | 819,000 | MH | |||
Overhead costs | $ | 586,600 | $ | 419,000 | |||
Compute Aztec's departmental overhead rate for the baking department based on direct labor hours.
Multiple Choice
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$4.23 per DLH
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$1.40 per DLH
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$0.72 per DLH
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$0.51 per DLH
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$1.94 per DLH
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