11. The Accountant for APC Manufacturing Pty Ltd, a manufacturer of Sports Wear has accumulated the following information related to the anticipated overhead costs for the coming year.

		factory office	stores	assembly	finishing	total
dept overhead		$60,000	$15,000	$80,000	$45,000	$200,000
departmental information
plant value		$15,000	$35,000	$270,000	$80,000	$400,000
floor space(m2)		100	200	500	300	1,100
requisitions				60	40	100
No. of employees			22	55	33	110
direct labour hours				2,000	6,000	8,000
machine hours				12,650	2,350	15,000

The firm uses the direct method for re-allocation of service department (Factory Office and Stores) costs to production departments (Assembly and Finishing). The factory office would be reallocated to production departments according to the service rendered to production departments as measured by the number of employees in each production department. The stores would be reallocated to production departments according to the service rendered to production departments as measured by the number of materials requisitions in each production department. Required: a. Determine department overhead rates based on (i) Machine hours for Assembly and (ii) Direct Labour hours for Finishing. Show all the workings in your answers. (Hints: You can use the following table to answer this part of question.) (10 marks) b. Compute a plant wide overhead rate based on Direct Labour hours. Show all the workings in your answers. (2 marks)