Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

eBook Calculator Multiple Production Department Factory Overhead Rate Method Four Finger Appliance Company manufactures small kitchen appliances. The product line consists of blenders and toaster

image text in transcribed
image text in transcribed
eBook Calculator Multiple Production Department Factory Overhead Rate Method Four Finger Appliance Company manufactures small kitchen appliances. The product line consists of blenders and toaster ovens. Four Finger Appliance presently uses the multiple production department factory overhead rate method. The factory overhead is as follows: Assembly Department Test and Pack Department Total $186,000 120,000 $306,000 The direct labor information for the production of 7,500 units of each product is as follows: Assembly Department 750 din Test and Pack Department 2,250 din 750 Blender Toaster oven 2,250 3,000 din 3,000 din Total Four Finger Appliance used direct labor hours to allocate production department factory overhead to products, If required, round all per unit answers to the nearest cent. a. Determine the two production department factory overhead rates. Assembly Department 62 per direct labor hour Test and Pack Department 40 per direct labor hour . eBook Calculator Four Finger Appliance used direct labor hours to allocate production department factory overhead to products, If required, round all per unit answers to the nearest cent. a. Determine the two production department factory overhead rates. Assembly Department 62 per direct labor hour Test and Pack Department 40 per direct labor hour b. Determine the total factory overhead and the factory overhead per unit allocated to each product. Product Total Factory Overhead Factory Overhead Per Unit Blender X Toaster oven X Feedback Check My Work a. Calculate: Department Factory overhead + total hours for each department Rate for each department b. Calculate for each product: Department usage x Rate from Req. (a) - Activity Cost per department. Add both department costs for each product to obtain a total. Divide total costs by number of units to obtain factory overhead per unit of each product Previous Next > Check My Work ms

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access with AI-Powered Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Fundamental Accounting Principles

Authors: John Wild, Ken Shaw, Barbara Chiappetta

22nd edition

9781259566905, 978-0-07-76328, 77862279, 1259566900, 0-07-763289-3, 978-0077862275

Students also viewed these Accounting questions