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Sunny Company manufactures pipes and applies manufacturing overhead costs to production at a budgeted indirect cost allocation rate of $15 per direct labour hour. The

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Sunny Company manufactures pipes and applies manufacturing overhead costs to production at a budgeted indirect cost allocation rate of $15 per direct labour hour. The following data are obtained from the accounting records for June in the current year: Direct materials $280,000 Direct labour (7,000 hours @ $11/hour) Indirect labour Plant facility rent Depreciation on plant machinery and equipment $77,000 $20,000 $60,000 $30,000 Im Sales commissions Administrative expenses $40,000 $50,000 1. The actual amount of manufacturing overhead costs incurred in June totals a. $557,000. b. $200,000 $110,000 d. $80,000. $105,000 C. e. 2. The amount of manufacturing overhead allocated to all jobs during June totals a. $77,000. b. $105,000 $110,000 d. $200,000 $557,000. C. e

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