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Shaver Co. manufactures a variety of electric razors for men and women. The company's plant is partially automated. Listed below is cost driver information used
Shaver Co. manufactures a variety of electric razors for men and women. The company's plant is partially automated. Listed below is cost driver information used in the product-costing system: Overhead Cost Pool Machinery depreciation/maintenance Factory depreciation/utilities/insurance Product design Material handling Budgeted Budgeted cost Overhead cost Driver Level Cost Driver $ 168,640 27,200 Machine hours 127,840 27,200 Machine hours 554,400 38,500 Hours in design 1,078,000 134,750 Pounds of raw materials In addition, Shaver expects to spend $514,368 for 8,037 direct labor-hours. Two current product orders had the following requirements: Mens Razors 20,000 30 Units produced and sold Direct labor hours Pounds of raw materials Hours in design Machine hours Women's Razors 26,000 40 750 860 20 23 65 50 Using ABC, how much facility-level overhead is assigned to the current order for Men's Razors? Using ABC, how much facility-level overhead is assigned to the current order for Men's Razors? Multiple Choice $708.50. $545.00. $936.00. $403.00. $310.00
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