The company you work for currently allocates insurance costs on the basis of cost per direct labor

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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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Engineering economy

ISBN: 978-0073376301

7th Edition

Authors: Leland Blank, Anthony Tarquin

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