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Adirondack Marketing Inc. manufactures two products, A and B. Presently, the company uses a single plantwide factory overhead rate for allocating overhead to products. However,
Adirondack Marketing Inc. manufactures two products, A and B. Presently, the company uses a single plantwide factory overhead rate for allocating overhead to products. However, management is considering moving to a multiple department rate system for allocating overhead. Total DLH per Product Direct Overhead Labor Hours A B Painting Dept. $243,700 9,800 7 10 Finishing Dept. 81,000 10,900 6 Totals $324,700 20,700 9 16 The single plantwide factory overhead rate for Adirondack Marketing Inc. is a. $15.69 per dlh Ob. $24.87 per dlh Oc. $7.43 per dlh Od. $2.78 per dlh
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