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Business, 15.11.2019 22:31 boonkgang6821

Ppx is a specialized packaging company that packages other manufacturers' products. other manufacturers ship their products to ppx in bulk. ppx then packages the products using high-speed, state-of-the-art packaging machines and ships the packaged products to wholesalers. a typical order involves packaging small toys in see-through plastic and cardboard containers. ppx uses a flexible budget to forecast annual plantwide overhead, which is then allocated to jobs based on machine hours. the annual flexible overhead budget is projected to be $6 million of fixed costs and $120 per machine hour. the budgeted number of machine hours for the year is 20,000. at the end of the year, 21,000 machine hours were used and actual overhead incurred was $9.14 million.

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