Accounting 2 – A local picnic table manufacturer has budgeted

Accounting 2

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PA  3

LO 6.2 A local picnic table manufacturer has budgeted these overhead costs:

They are considering adapting ABC costing and have estimated the cost drivers for each pool as shown:

Recent success has yielded an order for 1,000 tables. Assume direct labor costs per hour of $20. Determine how much the job would cost given the following activities:

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Explanation & Answer

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