Calculate overhead allocation rates

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Exercise - Allocating Manufacturing Overhead to Jobs

Webber Fabricating estimated the following annual costs.

Expected annual direct labor hours 40,000

Expected annual direct labor cost $ 625,000

Expected machine hours 20,000

Expected material cost for the year $ 800,000

Expected manufacturing overhead $1,000,000

Required - Calculate overhead allocation rates using each of the four possible allocation bases provided.

Reference no: EM131824841

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