Question: The company you work for currently allocates insurance costs on the basis of cost per direct labor hour. This indirect cost component for the year

The company you work for currently allocates insurance costs on the basis of cost per direct labor hour. This indirect cost component for the year is budgeted at $36,000. If the direct labor hours for departments A, B, and C are expected to be 2000, 8000, and 5000, respectively, this year, determine the allocation to each department.

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