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Question 1: The following data relates to Spurrier Company's estimated amounts for next year. What is the company's plantwide OH rate if direct labor hours are the allocation base? Round your answer to two decimal places.
Estimated Dept. 1 Dept. 2
Manufacturing OH Costs $1,200,000 $3,400,000
DL Hours 545,000 795,000
Machine Hours 95,000 29,000
Where would the interest expense be shown on the statement of cash flows?
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