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Sarasota Tires manufactures tires for dune buggies and has two different products, nubby tires and smooth tires. The company produces 6,500 nubby tires and 11,500
Sarasota Tires manufactures tires for dune buggies and has two different products, nubby tires and smooth tires. The company produces 6,500 nubby tires and 11,500 smooth tires each year and incurs $296,500 of overhead costs. The following information is available: For the nubby tires, the company has 550 requisitions, 350 setups, and 350 inspections. The smooth tires require 750 requisitions. 450 setups, and 550 inspections. Determine the overhead rate for each activity
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