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Exercise 17-7 Departmental overhead rates LO P2 Textra Plastics produces parts for a variety of small machine manufacturers. Most products go through two operations, molding

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Exercise 17-7 Departmental overhead rates LO P2 Textra Plastics produces parts for a variety of small machine manufacturers. Most products go through two operations, molding and trimming, before they are ready for packaging. Expected costs and activities for the molding department and for the trimming department for this year follow. (Round "OH rate and cost per unit" answers to 2 decimal places.) Direct labor hours Machine hours Overhead costs Molding Trimming 52,000 DLH 48,000 DLH 30,500 MH3, 600 MH $746,000 $606,000 Data for two special-order parts to be manufactured by the company in this year follow Part A27C Part X82B 9,800 units 54,500 units 5,100 MH 2,600 MH 1,020 MH 650 MH Number of units Machine hours Molding Trimming Direct labor hours Molding Trimming 5,500 DLH 700 DLH 2,150 DLH 3,500 DLH Required: 1. Compute a departmental overhead rate for the molding department based on machine hours and a department overhead rate for the trimming department based on direct labor hours. Molding points Trimming Skipped eBook 2. & 3. Determine the total overhead cost assigned to each product line using the departmental overhead rates from requirement 1, and then determine the overhead cost per unit. Print References Activity Part A27C Departmental OH Rate Total Overhead Cost Driver Molding Trimming Part X82B Activity Driver Departmental OH Rate Total Overhead Cost Molding Trimming

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