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Galbraith Company Applies Overhead Cost to Jobs on the Basis

Question 25

Multiple Choice

Galbraith Company applies overhead cost to jobs on the basis of 70% of direct Labour cost. If Job 201 shows £28,000 of manufacturing overhead applied, the direct Labour cost on the job was


A) £40,000.
B) £19,600.
C) £28,000.
D) £36,400.

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