Blackwelder Factory produces two similar products -small lamps and desk lamps. The total plant overhead budget is S640,000 with 400.000 estimated direct labor hours. It is futher estimated that small lamp production will require 275.000 direct labor hours and desk lamp production will need 125,000 direct labor hours. 48. Using the single plantwide factory overhead rate with an allocation base of direct labor hours, how much factory overhead will Blackwelder Factory allocate to small lamp production if actual direct labor hours for the period are 285,000? a. $275,000 b. $285,000 c. $440.000 d. $456,000 49. Decisions to install new equipment, replace old equipment, and purchase or construct a new building are examples of a. sales mix analysis b. variable cost analysis c. capital investment analysis d. variable cost analysis 50. The management of Chariton Corporation is considering the purchase of a new machine costing $380,000. company's desi In addition to the foregoing information, use the following data in determining the acceptability of this in The red rate of return is 6% The present value factor for an annuity of si at interest of 6% for 5 years is 4212. vestment: Income from Operations $20,000 20,000 20,000 20,000 20,000 Net Cash Flow $95,000 95,000 95,000 95,000 95,000 Year The cash payback period for this investment is a. 4 years b. 5 years c. 19 years d. 3.3 years Next Page