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Accounting

BatPro makes metal baseball bats. Each bat requires 1 kg. of aluminum at $20 per kg. and 0.50 direct labor hours at $16 per hour. Overhead is assigned at the rate of $40 per labor hour. Assume the actual cost to manufacture one metal bat was $54. Compute the cost variance and classify it as favorable or unfavorable.

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Accounting Basics, Accounting

Category:- Accounting Basics
Reference No.:- M9800856

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