printers Inc produces annual reports ad marketing materials for large companies. There are three categories of costs in its normal jobcosting system: direct materials, direct labor, and overhead (both variable and fixed), allocated o the basis of direct labor costs. Jill Liu, the cotroller, is concerned that an increasing number of clients are waiting until the last minute to send in their final orders, causing congestion and an increase in the variable manufacturing overhead rate because of higher overtime and facility and machine maintenance.
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