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Problem 1: The Work in Process inventory account of a manufacturing company shows a balance of $2,400 at the end of an accounting period. The job cost sheets of two uncompleted jobs show charges of $400 and $200 for direct materials and charges of $300 and $500 for direct labour. From this information, what predetermined overhead rate, as a percentage of direct labour costs, does the company appear to be using?
Select one:
a. 80%.
b. 300%.
c. 125%.
d. 240%.
What The direct labor rate variance is calculated to be? The direct labor efficiency variance is calculated and The direct material flexible budget variance
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