Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Can i have the answer in 20-30 mins Sportway Inc. produces high-quality tennis racquets and golf clubs using a patented forming process and high-quality hand-finishing.
Can i have the answer in 20-30 mins
Sportway Inc. produces high-quality tennis racquets and golf clubs using a patented forming process and high-quality hand-finishing. Products move through two production departments: Forming and Finishing. The company uses departmental overhead rates to allocate overhead costs. Overhead is allocated based on machine-hours in Forming and direct labour cost in Finishing. Information related to costs for last year is provided below: Tennis Golf Racquets Clubs 6,600 10,400 $ 4.90 $ 4.00 Annual production and sales (units) Direct materials cost per unit Direct labour cost per unit: Forming Department Finishing Department Machine-hours per unit: Forming Department Finishing Department $ 5.00 $ 4.50 $ 8.00 $ 6.00 0.25 0.00 0.25 0.50 In addition, the firm budgets manufacturing overhead at $59,750 in the Forming Department and $62,500 in the Finishing Department. Required: 1. Determine the overhead application rate for each department. (Round your answers to 2 decimal places.) per MH Forming Finishing per DLS 2. Determine the total cost per unit of tennis racquets and golf clubs. (Round your intermediate calculations and final answers to 2 decimal places.) Tennis Racquets Golf Clubs Total cost per unit Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started