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Chapter 18 HW PR.18-02B.ALGO Hide or show questions Progress:1/1 items eBookCalculator Multiple Production Department Factory Overhead Rates Spotted Cow Dairy Company manufactures three productswhole milk,

Chapter 18 HW PR.18-02B.ALGO Hide or show questions Progress:1/1 items eBookCalculator Multiple Production Department Factory Overhead Rates Spotted Cow Dairy Company manufactures three productswhole milk, skim milk, and creamin two production departments, Blending and Packing. The factory overhead for Spotted Cow Dairy is $539,100. The three products consume both machine hours and direct labor hours in the two production departments as follows: Direct Labor Hours Machine Hours Blending Department Whole milk 800 1,090 Skim milk 510 870 Cream 390 690 1,700 2,650 Packing Department Whole milk 240 1,630 Skim milk 250 1,000 Cream 225 1,070 715 3,700 Total 2,415 6,350 The management of Spotted Cow Dairy Company now plans to use the multiple production department factory overhead rate method. The total factory overhead associated with each department is as follows: Blending Department $306,000 Packing Department 233,100 Total $539,100 Required: If required, round all amounts to the nearest dollar. 1. Determine the multiple production department factory overhead rates, using direct labor hours for the Blending Department and machine hours for the Packing Department. Blending Department $ per direct labor hour Packing Department $ per machine hour 2. Determine the product factory overhead costs, using the multiple production department rates in (1). Whole milk Skim milk Cream Blending Department factory overhead $ $ $ Packing Department factory overhead Total factory overhead $ $ $

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