Assume a company has two manutacturing departments - Assembly and Fabrication. The company considers all...
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Assume a company has two manutacturing departments Assembly and Fabrication. The company considers all of its manufacturing overhead costs to be fixed costs. The first set of data below is budgeted data for the company as a whole that was estimated at the beginning of the year. The second set of data relates to one particular job completed during the year Job ZBudgeted DataManufacturing overhead costsDirect labor hoursMachine hours$ FabricationJob zDirect labor hoursmachine hoursAssembly hours hourFabrication houns hoursAssume the company uses departmental predetermined overhead rates. It uses direct laborhours as the allocation base in Assembly and machinehours as the allocation base in Fabrication. What is the predetermined overhead rate in the Fabrication Department?Multiple Choice$$$$
Assume a company has two manutacturing departments Assembly and Fabrication. The company considers all of its manufacturing overhead costs to be fixed costs. The first set of data below is budgeted data for the company as a whole that was estimated at the beginning of the year. The second set of data relates to one particular job completed during the year Job ZBudgeted DataManufacturing overhead costsDirect labor hoursMachine hours$ FabricationJob zDirect labor hoursmachine hoursAssembly hours hourFabrication houns hoursAssume the company uses departmental predetermined overhead rates. It uses direct laborhours as the allocation base in Assembly and machinehours as the allocation base in Fabrication. What is the predetermined overhead rate in the Fabrication Department?Multiple Choice$$$$
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