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Business, 15.04.2020 17:30 Suphat

Eclipse Motor Company manufactures two types of specialty electric motors, a commercial motor and a residential motor, through two production departments, Assembly and Testing. Presently, the company uses a single plantwide factory overhead rate for allocating factory overhead to the two products. However, management is considering using the multiple production department factory overhead rate method. The following factory overhead was budgeted for Eclipse: a. Assembly Department $280,000 b Testing Department 800,000c. Total $1,080,000

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