Cain Company makes three products in its factory: plastic cups, plastic tablecloths, and plastic bottles. The expected overhead costs for the next fiscal year include the following.

Factory managers salary	$	261,000
Factory utility cost		127,000
Factory supplies		402,500
Total overhead costs	$	790,500

Cain uses machine hours as the cost driver to allocate overhead costs. Budgeted machine hours for the products are as follows:

Cups		560	Hours
Tablecloths		780
Bottles		1,210
Total machine hours		2,550

Required:

a.	Allocate the budgeted overhead costs to the products.

Cain Company makes three products in its factory: plastic cups, plastic tablecloths, and plastic bottles. The expected overhead costs for the next fiscal year include the following Factory manager's salary Factory utility cost Factory supplies $261,000 127,000 402,500 lotal overhead costs $790,500 Cain uses machine hours as the cost driver to allocate overhead costs. Budgeted machine hours for the products are as follows 560 Hours Cups Tablecloths Bottles 780 1,210 Total machine hours 2,550 Required: a. Allocate the budgeted overhead costs to the products Product Allocation Ratex Weight of BaseAllocated Cost Cups Tablecloths Bottles Total