Some modern, capital-intensive production facilities have significantly reduced the proportion of direct labor cost to total production

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Some modern, capital-intensive production facilities have significantly reduced the proportion of direct labor cost to total production cost. Discuss the effect this might have on the selection of an allocation base for the application of overhead.

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Managerial Accounting

ISBN: 978-0470578797

4th edition

Authors: James Jiambalvo

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Question Posted: Sep 12, 2013 09:41 AM

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Some modern, capital-intensive production facilities have significantly reduced the proportion of direct labor cost to total production

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