Which job uses more of the company's resources? Explain. 4 . Compute the
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Which job uses more of the company's resources? Explain.
Compute the total amount of overhead allocated to each job if Southwick Products uses its current plantwide overhead rate.
Compute the total amount of overhead allocated to each job if Southwick Products uses departmental overhead rates.
Do both allocation systems accurately reflect the resources that each job used? Explain.
Compute the total manufacturing cost and sales price of each job using Southwick Products current plantwide overhead rate.
Based on the currentplantwide allocation system, how much profit did Southwick Products think it earned on each job? Based on the departmental overhead rates and the sales price determined in Requirement how much profit did it really earn on each job?
Compare and comment on the results you obtained in Requirements and
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