Compute the overhead cost assigned to each type of tent

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Mannheim Corporation manufactures small camping tents and family camping tents. Estimated direct labor time to produce each type of tent is as follows:

                                                  Small Family
Estimated tents produced.    25,000                10,000
Direct labor hours per tent        2                   5

Estimated overhead for the period = 1,200,000 SAR.

Question 1: Compute the overhead cost assigned to each type of tent assuming direct labor hours are used to allocate overhead costs.

Reference no: EM132658372

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