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A company produces parts for a variety of small machine manufacturers. Most products go through two operations, molding and trimming, before they are ready for
A company produces parts for a variety of small machine manufacturers. Most products go through two operations, molding and trimming, before they are ready for packaging. Expected costs and activities for the molding department and for the trimming department for this year follow.
Molding Trimming
Direct labor hours DLH DLH
Machine hours MH MH
Overhead costs $ $
Data for two specialorder parts to be manufactured by the company in this year follow.
Part AC Part XB
Number of units units units
Machine hours
Molding MH MH
Trimming MH MH
Direct labor hours
Molding DLH DLH
Trimming DLH DLH
Required:
Compute the plantwide overhead rate using direct labor hours as the base.
Determine the overhead cost assigned to each product line using the plantwide rate computed in requirement A company produces parts for a variety of small machine manufacturers. Most products go through two operations, molding and
trimming, before they are ready for packaging. Expected costs and activities for the molding department and for the trimming
department for this year follow.
Data for two specialorder parts to be manufactured by the company in this year follow.
Required:
Compute the plantwide overhead rate using direct labor hours as the base.
Determine the overhead cost assigned to each product line using the plantwide rate computed in requirement Compute the plantwide overhead rate using direct labor hours as the base. Complete this question by entering your answers in the tabs below.
Required
Required
Determine the overhead cost assigned to each product line using the plantwide rate computed in requirement Round OH
rate" to decimal places.
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