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To manufacture one unit of its final product, the CPA company technically needs (standards) 5 hours of category A labor which costs $25/hour and 10
To manufacture one unit of its final product, the CPA company technically needs (standards) 5 hours of category A labor which costs $25/hour and 10 hours of category B labor which costs $12/hour. The company manufactured 1400 units during the month of September requiring 22,400 hours of direct labor according to the following distribution 25% of the time in category A and 75% of the time in category B.
The composition gap and the labor output gap are respectively?
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