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The Following Information Is Available for the Rollin' Baby Company

Question 44

Multiple Choice

The following information is available for the Rollin' Baby Company which produces two types of strollers, standard and deluxe. The following information is available for the Rollin' Baby Company which produces two types of strollers, standard and deluxe. If the company allocates their fixed costs based on direct labor dollars, the profit before tax for the standard and deluxe product line, respectively, would be: A) $8,000/$59,000 B) $19,000/$48,000 C) $16,000/$51,000 D) $24,800/$42,200 If the company allocates their fixed costs based on direct labor dollars, the profit before tax for the standard and deluxe product line, respectively, would be:


A) $8,000/$59,000
B) $19,000/$48,000
C) $16,000/$51,000
D) $24,800/$42,200

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