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LMN Ltd has the following data relating to its assembly plant for the year to 31 March Year 7:
£
Material costs
1,000,000
Direct labour costs
500,000
Assembly plant indirect costs
200,000
Inaddition, the stores departments has total costs of £60,000, and spends 50% of its time servicing the assembly plant. In Year 7, there were 100,000 labour hours worked and 50,000 machine hours run in the assembly plant. What was the overhead cost per direct labor hour?
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