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I need help with Indirect Cost Allocation using the direct method. It is due tomorrow the 14th by 8 am. If someone could help me
I need help with Indirect Cost Allocation using the direct method. It is due tomorrow the 14th by 8 am. If someone could help me get it finished today, that would be great!
Indirect Cost Allocation: Direct Method Sprint Manufacturing Company has two production departments, Melting and Molding. Direct general plant management and plant security costs benefit both production departments. Sprint allocates general plant management costs on the basis of the number of production employees and plant security costs on the basis of space occupied by the production departments. In November, the following overhead costs were recorded: Melting Department direct overhead Molding Department direct overhead General plant management Plant security $180,000 300,000 100,000 30,000 Other pertinent data follow: Melting Molding Number of employees 25 60 Space occupied (square feet) 10,000 40,000 Machine hours 10,000 2,000 Direct labor hours 4,000 20,000 (a) Prepare a schedule allocating general plant management costs and plant security costs to the Melting and Molding Departments. Department Total $Answer Melting $Answer 100000 Molding $Answer 0 0 General Plant Management $Answer $Answer 30000 Plant security $Answer 0 0 (b) Determine the total departmental overhead costs for the Melting and Molding Departments. Melting $Answer 0 Molding $Answer 0 (c) Assuming the Melting Department uses machine hours and the Molding Department uses direct labor hours to apply overhead to production, calculate the overhead rate for each production department. (Round your answers to two decimal places.) Melting $Answer 0 Molding $Answer 0Step by Step Solution
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