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Data table
Requirements
tableDepartmentCost Driver,tableOverhead Costsin tableQuantity of Cost Drivers Used by EachProjectJonesCaufield,BraydenDesignDesign department hours,EngineeringNumber of engineering hours,ConstructionLaborhours,Total
Compute the overhead allocated to each project in using the simple costing system that allocates overhead costs to jobs based on the number of jobs.
Compute the overhead allocated to each project in using department overhead cost rates.
Do you think Jones had a valid reason for dissatisfaction with the cost and price of its buillding? How does the allocation based on department rates change costs for each project?
What value, if any, would DPN get by allocating costs of each department based on the activities done in that department?