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The activity base associated with the two production departments is direct labor hours. The indirect labor can be assigned to two different activities as follows:

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The activity base associated with the two production departments is direct labor hours. The indirect labor can be assigned to two different activities as follows: Budgeted Activity Activity Base 2 Setup $138,600.00 261,800.00 400,400.00 Number of setups Quality control Number of inspections Total

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