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The Pinewood Furniture Company Pty Ltd plans to design two lines of chairs in the coming year-lounge and patio. The company is considering introducing an activity-based costing system. Given below are every activity, its cost and its related activity driver.Activity Cost Activity Driver Material Setups $300,000 Number of setupsMaterial handling $250,000 Number of partsCutting $700,000 Number of partsAssembly $600,000 Direct labour hoursFinishing $450,000 Number of unitsThe level of activity for the year is: Lounge PatioUnits to be produced 10,000 5,000Number of Setups 60 60Number of parts per unit 10 5Direct Labour Hours per unit 5 2Needed:Under an activity-based costing system, what is the total cost of patio chairs for the annual?
Question 1: Assuming that you are appointed consultant on economic matters for a company and you are asked to analyse the market structures in various sectors of the economy.
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