What predetermined overhead rates would be used in Mazoon Leather for Primary Treatment Department and Secondary Treatment Department. respectively? $10 and $2 O b. 100% and $2 Oc. 51 and 75% Od $10 and 75% le. INone of the given answer.
What predetermined overhead rates would be used in Mazoon Leather for Primary Treatment Department and Secondary Treatment Department. respectively? $10 and $2 O b. 100% and $2 Oc. 51 and 75% Od $10 and 75% le. INone of the given answer.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Mazoon Leather Company decided to use a multiple predetermined overhead rate to apply manufacturing overhead to jobs.
The predetermined overhead rate chosen is labor hours for Primary Treatment Department and machine-hours for Secondary
Treatment Department. The accounting records shows the following estimates made at the beginning of the year:
on
of
Primary
Secondary
Treatment
Treatment
Manufacturing overhead cost
$60,000
$ 30,000
Machine-hours
2,000
15.000
Direct labor-hours
6,000
9.000
Direct labor cost
$60.000
$ 40.000
What predetermined overhead rates would be used in Mazoon Leather for Primary Treatment Department and Secondary
Treatment Department, respectively?
$10 and $2
Ob 100%and $2
$1 and 75%
telida510end 75%6
None of the given answer
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