Question
The following overhead cost information is available for Henderson, Inc. for 20XX: Activity Allocation Base Overhead Cost Purchasing Number of purchase orders $40,000 Receiving Number
The following overhead cost information is available for Henderson, Inc. for 20XX: Activity Allocation Base Overhead Cost Purchasing Number of purchase orders $40,000 Receiving Number of shipments received $25,000 Machine setups Number of setups $30,000 Quality control Number of inspections $20,000 During the year, 2,000 purchase orders were issued; 800 shipments were received; 3,000 machine setups were performed; and 2,500 inspections were conducted. Required: If Job #101 required 3 purchase orders, 4 shipments, 4 machine setups, and 2 inspections to complete, how much overhead should be assigned to Job #101?
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