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Challenger Factory produces two similar products: regular widgets and deluxe widgets. The total factory overhead budget is $654,500 with 397,100 estimated direct laber hours: Deluxe
Challenger Factory produces two similar products: regular widgets and deluxe widgets. The total factory overhead budget is $654,500 with 397,100 estimated direct laber hours: Deluxe widget production requires 4 direct labor hours for each unit, and regular widget production requires 6 direct fabor hours for each unit. Using a single plantwide factory overhead rate (rounded to the nearest cent) with an allocation base of direct fabor hours, the factory overhead that Challenger Factory will allocate to deluxe widget production if budgeted production for the period for deluxe widgets is 44,800 units and actual production of deluxe widgets for the period is 58,000 units would be a. 5553,795 b. 5382,800 c. 5738,393 d. 5110,759
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