The total FOH planned for a company is $1,500,000 and the production amount for the same period is 2,000 units. 2.5 DL hours and 5 machine hours are required for each unit to produce. The company's cost accountant analysed the total FOH and found that 60% was related to machine hours and 40% to DL hours.

Find FOH application rates from DL and machine clock perspectives.

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To find the FOH Factory Overhead application rates from both the direct labor DL and machine clock p... View the full answer