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The Cost Pool,machine Set-Ups,has an Estimated Overhead of $120 000

Question 27

Multiple Choice

The cost pool,machine set-ups,has an estimated overhead of $120 000.The machines in the pool produce two products,X (200 set-ups) and Y (400 set-ups) .If 10 000 units of product X are produced,the amount of machine set-up costs that will be assigned to each unit of X is:


A) $2
B) $4
C) $8
D) $12

Correct Answer:

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