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Single plantwide factory overhead rate

Platzer Instruments Inc. makes three musical instruments: flutes, clarinets, and oboes. The budgeted factory overhead cost is $137,600. Overhead is allocated to the three products on the basis of direct labor hours. The products have the following budgeted production volume and direct labor hours per unit:

Instruments	Budgeted Production Volume	Direct Labor Hours Per Unit
Flutes	2,800 units	0.4
Clarinets	800	1.4
Oboes	1,200	1.0

If required, round all per unit answers to the nearest cent.

a. Determine the single plantwide overhead rate. ______ per direct labor hour

b. Use the overhead rate in (a) to determine the amount of total and per-unit overhead allocated to each of the three products,

Instruments	Total Factory Overhead Cost	Per Unit Factory Overhead Cost
Flutes
Clarinets
Oboes
Total