Question: Gaylen Corp. decides to construct a building for itself and plans to use existing plant facilities to assist with such construction. (a) What costs will

Gaylen Corp. decides to construct a building for itself and plans to use existing plant facilities to assist with such construction.
(a) What costs will enter into the cost of construction?
(b) What two positions can the company take with respect to general overhead allocation during the period of construction? Evaluate each position and indicate your preference.

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