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Calculate the under-over-absorbed overhead

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Question - Pembridge Co has a budgeted production overhead of $50,000 and a budgeted activity of 25,000 direct labour hours and therefore a recovery rate of $2 per direct labour hour. Actual overheads cost $47,000 and 25,000 direct labour hours are worked. Calculate the under-/over-absorbed overhead.

Reference no: EM132989047

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