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Mathematics
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Shuck Inc. bases its manufacturing overhead budget on budgeted direct labor-hours. The direct labor budget indicates that 6,000 direct labor-hours will be required in May. The variable overhead rate is $3.60 per direct labor-hour. The company's budgeted fixed manufacturing overhead is $114,500 per month, which includes depreciation of $6,500. All other fixed manufacturing overhead costs represent current cash flows. The May cash disbursements for manufacturing overhead on the manufacturing overhead budget should be:
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