(Chapter 4&8)
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Solly Solicitors uses pre-determined rates for absorbing total overheads, based on the budgeted number of chargeable hours. A rate of $10 per chargeable hour has been calculated, and the following overhead expenditures have been estimated at two activity levels. Based on the data above, the estimated level of fixed overheads is: A $80,000 B $500,000 C $200,000 D $232,000 |