Sky High Company has two departments X and Y. The following estimates are for the...
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Accounting
- Sky High Company has two departments X and Y. The following estimates are for the coming year:
|
| X | Y |
| Direct manufacturing labor-hours | 20,000 | 40.000 |
| Machine-hours | 40,000 | 20,000 |
| Manufacturing overhead | $200,000 | $400,000 |
A single indirect cost rate based on direct manufacturing labor-hours for the entire plant is ?
- $12 per direct labor hour
- $15 per direct labor-hour
- $21 per direct labor-hour
- $10 per direct labor hour
- None of the above
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