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A company has a processing department with 10 stations Because of the nature and use of three of these stations each is considered a separate cost center for indirect cost allocation The remaining

A company has a processing department with 10 stations. Because of the nature and use of three of these stations, each is considered a separate cost center for indirect cost allocation. The remaining seven are grouped as one center, CC190. Machine operating hours are used as the allocation basis for all machines. A total of $250,000 is allocated to the department for next year. Use the data collected this year to determine the indirect cost rate for each center.

Apr 01 2020 View more View Less

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