Answered step by step
Verified Expert Solution
Question
1 Approved Answer
1 1 Laval produces lamps and home lighting fixtures. Its most popular product is a brushed aluminum desk lamp. This lamp is made from components
1 1 Laval produces lamps and home lighting fixtures. Its most popular product is a brushed aluminum desk lamp. This lamp is made from components shaped in the fabricating department and assembled in the assembly department. Information related to the 22000 desk lamps produced annually follows. 3 points $280,000 eBook Direct materials Direct labor Fabricating department (9,000 DLH * $30 per DLH) Assembly department (26,000 DLH $21 per DLH) Machine hours Fabricating department Assembly department $270,000 $336,000 15,300 MH 20,400 MH Expected overhead cost and related data for the two production departments follow. Fabricating Assembly Direct labor hours 250,000 DLH 255.000 DLH Machine hours 168.000 MH 122,000 MH Overhead cost $400,000 $435.000 Required 1. Determine the plantwide overhead rate for Laval using direct labor hours as a base. 2 Determine the total manufacturing cost per unit for the aluminum desk lamp using the plantwide overhead rate. 3. Compute departmental overhead rates based on machine hours in the fabricating department and direct labor hours in the assembly department 4. Use departmental overhead rates from requirement 3 to determine the total manufacturing cost per unit for the aluminum desk lamps. Expected overhead cost and related data for the two production departments follow. Fabricating Assembly Direct labor hours 250,000 DLH 255,000 DLH Machine hours 168,000 MH 222,000 MH Overhead cost $400,000 3435,000 Required 1. Determine the plantwide overhead rate for Laval using direct labor hours as a base. 2 Determine the total manufacturing cost per unit for the aluminum desk lamp using the plantwide overhead rate. 3. Compute departmental overhead rates based on machine hours in the fabricating department and direct labor hours in the assembly department. 4. Use departmental overhead rates from requirement 3 to determine the total manufacturing cost per unit for the aluminum desk lamps. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Determine the plantwide overhead rate for Laval using direct labor hours as a base. 2.08 per direct labor hour Estimated overhead costs Estimated direct labor hours S835.000 $ 405.000 Required: Required 2 > Expected overhead cost and related data for the two production departments follow. Fabricating Assembly Direct labor hours 150,000 DLH 255,000 DLH Machine hours 168,000 MH 122,000 MH Overhead cost $400,000 $435,000 Required 1. Determine the plantwide overhead rate for Laval using direct labor hours as a base. 2 Determine the total manufacturing cost per unit for the aluminum desk lamp using the plantwide overhead rate. 3. Compute departmental overhead rates based on machine hours in the fabricating department and direct labor hours in the assembly department 4. Use departmental overhead rates from requirement 3 to determine the total manufacturing cost per unit for the aluminum desk lamps. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Determine the total manufacturing cost per unit for the aluminum desk lamp using the plantwide overhead rate. Direct materials Direct Labor - Fabricating Direct Labor - Assembly Overhead $ 280.000 270,000 336,000 25.000 Total manufacturing costs Units produced Manufacturing cost per unit 911,000 22.000 41.41 $ Compute departmental overhead rates based on machine hours in the fabricating department and direct labor hours in the assembly department. (Round your answers to 2 decimal places.) Departmental overhead rate Fabricating $ 2.38 MH Assembly 5 3.57 DLH Use departmental overhead rates from requirement 3 to determine the total manufacturing cost per unit for the aluminum desk lamps. Direct materials Direct labor Fabricating Assembly 0 Overhead 0 $ 0 o per unit
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started