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Author Question: Milan Manufacturing Company has identified three cost pools to allocate overhead costs. The ... (Read 74 times)

abc

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on: Mar 6, 2021
Milan Manufacturing Company has identified three cost pools to allocate overhead costs. The following estimates are provided for the coming year:

Cost PoolOverhead CostsCost driverActivity level
Supervision of direct labor$539,000Direct labor-hours920,000
Machine maintenance$120,000Machine-hours1,000,000
Facility rent$215,000Square feet of area160,000
Total overhead costs$874,000

The accounting records show the Mossman Job consumed the following resources:

Cost driverActual level
Direct labor-hours300
Machine-hours1,675
Square feet of area70

If direct labor-hours are considered the only overhead cost driver, what is the single cost driver rate for Milan?
◦ $1.05 per direct labor-hour
◦ $0.59 per direct labor-hour
◦ $0.95 per direct labor-hour
◦ $1.71 per direct labor-hour
Horngren's Cost Accounting: A Managerial Emphasis ¦ Datar, Rajan ¦ 16th Edition
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Marked as best answer by abc on Mar 6, 2021

yuyiding

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Reply #1 on: Mar 6, 2021
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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abc

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Reply 2 on: Mar 6, 2021
Great answer, keep it coming :)

covalentbond

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Reply 3 on: Yesterday
YES! Correct, THANKS for helping me on my review

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