Krispy Treats Snack Food Company manufactures three types of snack foods: tortilla chips, potato chips, and pretzels. The company has budgeted the following costs for the upcoming period:

Factory overhead is allocated to the three products on the basis of processing hours. The products had the following production budget and processing hours per case:

a. Determine the single plantwide factory overhead rate.
b. Use the factory overhead rate in (a) to determine the amount of total and per-case factory overhead allocated to each of the three products under generally accepted accounting principles.

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Factory depreciation $12,900 Indirect labor 32,150 Factory electricity 3,500 Indirect materials 6,650 Selling expenses 18,000 Administrative expenses 9,600 Total costs $82,800 Processing Hours per Case Volume (Cases) Budgeted Tortilla chips Potato chips Pretzels 0.12 2,500 4,400 1,200 8,100 0.10 0.15 Total