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Scoot manufactures motorbikes and allocates manufacturing overhead based on machine hours. Scoot expects to incur RM240,000 of manufacturing overhead costs and use 4000 machine hours each month.
On 31 January 2020, Scoot has the following information.
REQUIRED:
Question 1) Calculate predetermined overhead allocation rate
Question 2) Calculate overhead allocated for the month of January 2020
Question 3) Calculate over or under-allocated overhead
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