1- Harris, Inc., has just completed job nos. 78 and 79, which were similar in terms...

 

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1- Harris, Inc., has just completed job nos. 78 and 79, which were similar in terms of complexity, production processes, and units manufactured. Job no. 78 was manufactured by Joe Barton who carns $14 per hour, whereas job no. 79 was completed by Susan Franklin who earns $20 per hour. If Joe and Susan are equally efficient, would the company be better off using direct labor cost or direct labor hours as the cost driver in its predetermined overhead rate? Explain your answer. 2-Swift Drug Company is being sued this year for wrongful death due to a violation of FDA rules. There is no doubt that Swift is guilty, and the settlement is reasonably estimable at $10 billion payable evenly over ten years starting next year. Briefly explain how Swift would address this in its current year's financial statements. For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac). BIUS Paragraph Arial HE X² X₂G1 4 NOC 10pt ✓ V 12 B A I. XOQ 6 ते 田氏因 ET 0 트 *** 1- Harris, Inc., has just completed job nos. 78 and 79, which were similar in terms of complexity, production processes, and units manufactured. Job no. 78 was manufactured by Joe Barton who carns $14 per hour, whereas job no. 79 was completed by Susan Franklin who earns $20 per hour. If Joe and Susan are equally efficient, would the company be better off using direct labor cost or direct labor hours as the cost driver in its predetermined overhead rate? Explain your answer. 2-Swift Drug Company is being sued this year for wrongful death due to a violation of FDA rules. There is no doubt that Swift is guilty, and the settlement is reasonably estimable at $10 billion payable evenly over ten years starting next year. Briefly explain how Swift would address this in its current year's financial statements. For the toolbar, press ALT+F10 (PC) or ALT+FN+F10 (Mac). BIUS Paragraph Arial HE X² X₂G1 4 NOC 10pt ✓ V 12 B A I. XOQ 6 ते 田氏因 ET 0 트 ***

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1 Harris Inc has just completed job nos 78 and 79 which were similar in terms of complexity production processes and units manufactured Job no 78 was manufactured by Joe Barton who carns 14 per hour w... View the full answer