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. Product Painting Dept. Finishing Dept. Totals Overhead $248,000 72,000 $320,000 O a. $396.80 per unit O b. $425.60 per unit Oc. $214.40 per unit O d. $320.00 per unit Direct Labor Hours (dlh) 10,000 dlh 10,000 20,000 dlh A 16 dlh 4 B 4 dlh 16 20 dlh 20 dlh The overhead from both production departments allocated to each unit of Product A if Blue Ridge Marketing Inc. uses the multiple production department factory overhead rate method is 4

Blue Rudge 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. The overhead from both production departments allocated to each unit of product A if Blue Ridge Marketino Inc. uses the multiple production department factory overhead rate method is a. $396.80 per unit b. $425.60 per unit c. $21440 per unit d. $320.00 per unit