Compute a single plantwide overhead rate assuming the company allocates overhead cost based on $13,000$ direct labor hours.

Job $31$ used $320$ direct labor hours and Job $42$ used $640$ direct labor hours. Allocate overhead cost to each job using the single plantwide overhead rate from part $1.$

Compute an activity rate for each activity using activity$-$based costing.

Allocate overhead costs to Job $31$ and Job $42$ using activity$-$based costing.

$\backslash$table$[[,$Activity Usage$],[$Activity cost Driver,Job $31,$Job $42],[$Direct labor hours $($DLH$),320,640],[$Engineering hours $($EH$),41,47],[$Machine hours $($MH$),40,56],[$Setups$,3,5]]$

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Job $31$ used $320$ direct labor hours and Job $42$ used $640$ direct labor hours. Allocate overhead cost to each job using the single plantwide overhead rate from part $1.$

$\backslash$table$[[,$Plantwide Overhead Rate,Direct Labor Hours per Unit,$\backslash$table$[[$Overhead$],[$Allocated$]]],[$Job $31,,,],[$Job $42,,,]]$

Craftmore Machining reports the following budgeted overhead cost and related data for this year.

$\backslash$table$[[$Activity$,$Budgeted Cost,Activity Cost Driver,Budgeted Activity Usage$],[$Assembly$,$$$536,250,$Direct labor hours $($DLH$),13,000],[$Product design,$82,500,$Engineering hours $($EH$),1,500],[$Electricity$,27,500,$Machine hours $($MH$),10,000],[$Setup$,68,750,$Setups,$550],[$Total$,$$$715,000,,]]$

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Compute a single plantwide overhead rate assuming the company allocates overhead cost based on $13,000$ direct labor hours.

Job $31$ used $320$ direct labor hours and Job $42$ used $640$ direct labor hours. Allocate overhead cost to each job using the single plantwide overhead rate from part $1.$

Compute an activity rate for each activity using activity$-$based costing.

Allocate overhead costs to Job $31$ and Job $42$ using activity$-$based costing.

$\backslash$table$[[,$Activity Usage,$],[$Activity Cost Driver,Job $31,$Job $42],[$Direct labor hours $($DLH$),320,640],[$Engineering hours $($EH$),41,47],[$Machine hours $($MH$),40,56],[$Setups$,3,5]]$

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Required $3$

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