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Heady Company has two operating production departments Assembly and Painting Assembly has 210 employees and occupies 52.800 s
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Answer #1

Overhead rate for maintenance = Total maintenance costs/ total square footage = $108,000 / (52,800 + 35,200) = 1.22727 per sq. ft.

Maintenance expenses allocated to assembly = Square footage occupied by assembly × Per sq. ft. rate

= 52,800 × 1.22727 = $64,800.

Correct option is $64,800.

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