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    Allocation of Manufacturing Overhead

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    Manufacturing overhead is allocated to products based on the number of machine hours required. In a year when 20,000 machine hours were anticipated, costs were budgeted at $125,000. If a product requires 7,000 machine hours, how much manufacturing overhead will be allocated to this product?

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    https://brainmass.com/business/accounting/allocation-manufacturing-overhead-472489

    Solution Summary

    The solution allocates Manufacturing Overhead to a product.

    $2.19