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The controller for Ocean Sailboats Inc., a company which uses an automated process to make sailboats, established the following overhead cost pools and cost drivers: A recent order for sailboats used:
Required:
1. What is the overhead rate per machine hour if the number of machine hours is used as a single cost driver under traditional costing system?
2. Utilizing traditional costing, how much overhead is assigned to the order based on machine hours as a single cost driver?
3. Utilizing ABC, how much total overhead is assigned to the order?
Fundamental Attribution Error
The bias of attributing others' actions to their character rather than to situational factors.
Observers
Individuals who watch or notice something or someone, commonly used in the context of scientific research or social studies.
Situational Causes
Refers to factors or conditions within a context that influence events or outcomes.
Personal Causes
Individual factors or motivations that drive a person's actions, behaviors, or decisions, reflecting their personal values and goals.
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