Determining job costs using the abc method job

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Problem 1: Determining job costs, using the ABC method Job 25AX required $5,000 for direct materials, $2,000 for direct labor, 200 direct labor hours, 100 machine hours, two setups, and three design changes. The cost pools and overhead rates for each pool follow: Cost Pool Overhead Rate Assembly support $5/direct labor hour Machining support $10/machine hour Machine setups $250/setup Design changes $500/design change Determine the cost of Job 25AX using the ABC method.

Reference no: EM132687883

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