i Requirements 1. Compute the plantwide overhead rate assuming that Bergeron expects to incur 23,000 total DL hours during the year. 2. Compute departmental overhead rates assuming that Bergeron expects to incur 15,400 MH in the Machining Department and 17,200 DL hours in the Finishing Department during the year. 3. If Bergeron continues to use the plantwide overhead rate, how much manufacturing overhead would be allocated to Job 450 and Job 455? 4. If Bergeron uses departmental overhead rates, how much MOH would be allocated to Job 450 and Job 455? 5. Based on your answers to Requirements 3 and 4, does the plantwide overhead rate overcost or undercost either job? Explain. If Bergeron sells its furniture at 125% of cost, will its choice of allocation systems affect product pricing? Explain. Print Done Bergeron Furnishings manufactures upscale custom furniture. Bergeron Furnishings currently uses a plantwide overhead rate based on direct labour hours to allocate its $989,000 of manufacturing overhead to individual jobs. However, Werner Bergeron, owner and CEO, is considering refining the company's costing system by using departmental overhead rates. Currently, the Machining Department incurs $662,200 of MOH while the Finishing Department incurs $326,800 of MOH. Ernie has identified machine hours (MH) as the primary MOH cost driver in the Machining Department and direct labour (DL) hours as the primary cost driver in the Finishing Department. (Click the icon to view the job information.) Requirements Requirement 4. If Bergeron uses departmental overhead rates, how much MOH would be allocated to Job 450 and Job 455? Use the following table to calculate the amount of manufacturing overhead that would be allocated to the jobs if the departmental overhead rates are used. (Round your interim and final answers to the nearest whole dollar.) Job 450 Job 455 Machining Finishing Total overhead allocation Requirement 5. Based on your answers to Requirements 3 and 4, does the plantwide overhead rate overcost or undercost either of the jobs? Explain. If Bergeron sells his furniture at 125% of cost, will his choice of allocation systems affect product pricing? Explain. (Round your answers to the nearest whole dollar.) The single plantwide rate Job 450 by $ and Job 455 by $ Since Bergeron sets his sales price at 125% of cost and the job cost is by the allocation system he uses, his sales price will V by the allocation system he uses. i Requirements 1. Compute the plantwide overhead rate assuming that Bergeron expects to incur 23,000 total DL hours during the year. 2. Compute departmental overhead rates assuming that Bergeron expects to incur 15,400 MH in the Machining Department and 17,200 DL hours in the Finishing Department during the year. 3. If Bergeron continues to use the plantwide overhead rate, how much manufacturing overhead would be allocated to Job 450 and Job 455? 4. If Bergeron uses departmental overhead rates, how much MOH would be allocated to Job 450 and Job 455? 5. Based on your answers to Requirements 3 and 4, does the plantwide overhead rate overcost or undercost either job? Explain. If Bergeron sells its furniture at 125% of cost, will its choice of allocation systems affect product pricing? Explain. Print Done Bergeron Furnishings manufactures upscale custom furniture. Bergeron Furnishings currently uses a plantwide overhead rate based on direct labour hours to allocate its $989,000 of manufacturing overhead to individual jobs. However, Werner Bergeron, owner and CEO, is considering refining the company's costing system by using departmental overhead rates. Currently, the Machining Department incurs $662,200 of MOH while the Finishing Department incurs $326,800 of MOH. Ernie has identified machine hours (MH) as the primary MOH cost driver in the Machining Department and direct labour (DL) hours as the primary cost driver in the Finishing Department. (Click the icon to view the job information.) Requirements Requirement 4. If Bergeron uses departmental overhead rates, how much MOH would be allocated to Job 450 and Job 455? Use the following table to calculate the amount of manufacturing overhead that would be allocated to the jobs if the departmental overhead rates are used. (Round your interim and final answers to the nearest whole dollar.) Job 450 Job 455 Machining Finishing Total overhead allocation Requirement 5. Based on your answers to Requirements 3 and 4, does the plantwide overhead rate overcost or undercost either of the jobs? Explain. If Bergeron sells his furniture at 125% of cost, will his choice of allocation systems affect product pricing? Explain. (Round your answers to the nearest whole dollar.) The single plantwide rate Job 450 by $ and Job 455 by $ Since Bergeron sets his sales price at 125% of cost and the job cost is by the allocation system he uses, his sales price will V by the allocation system he uses