Blue Ridge 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. The following table presents information about estimated overhead and direct labor hours. Painting Dept. Finishing Dept. Totals Overhead a. $38.36 per unit Ob. $415.76 per unit O c. $483.52 per unit O d. $11.60 per unit $563,892 71,920 $635,812 Direct Labor Hours (dih) 14,700 dlh 6,200 20,900 dlh Product A 12 dlh 6 dlh 16 14 dlh 22 dlh Determine the overhead from both production departments allocated to each unit of Product A if Blue Ridge Marketing Inc. uses a multiple department rate system.

Blue Ridge 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. The following table presents information about estimated overhead and direct labor hours. Determine the overhead from both production departments allocated to each unit of Product A if Blue Ridge Marketing Inc. uses a multiple department rate system. a. $38.36 per unit b. $415.76 per unit c. $483.52 per unit d. $11.60 per unit