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Calculator TI Blue Ridge Marketing Inc. manufactures two products, A and B. Presently, the company uses a single plantwide factory overhead rate for allocating overhead

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Calculator TI 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. Direct Product Overhead Labor Hours (dih) A B Painting Dept. $251,700 11,900 dih 6 dih 11 dih Finishing Dept. 85,200 10,400 3 8 Totals $336,900 22,300 dih 9 dih 19 dih Using a single plantwide rate, the factory overhead allocated per unit of Product B is Ca. $135.99 b. $15.11 C. $126.91 d. $287.09 Previous Next > Submit Test for Grading

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