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Inc, manufactures three types of snack foods: tortilla chips, potato chips, and pretzels. The company has budgeted the following costs for the upcoming period: Factory
Inc, manufactures three types of snack foods: tortilla chips, potato chips, and pretzels. The company has budgeted the following costs for the upcoming period: Factory depreciation $20,556 Indirect labor 50,944 Factory electricity 5,809 Indirect materials 12,067 Selling expenses 28,600 Administrative expenses 16,088 Total costs $134,064 Factory overhead is allocated to the three products on the basis of processing hours. The products had the following production budget and processing hours per case: Budgeted Volume (Cases) Processing Hours Per Case Tortilla chips 3,900 0.10 Potato chips 4,800 0.12 Pretzels 4,200 0.15 Total 12,900 If required, round all per-case answers to the nearest cent. a. Determine the single plantwide factory overhead rate. X per processing hour Factory overhead is allocated to the three products on the basis of processing hours. The products had the following production budget and processing hours per case: Budgeted Volume (Cases) Processing Hours Per Case Tortilla chips 3,900 0.10 Potato chips 4,800 0.12 Pretzels 4,200 0.15 Total 12,900 If required, round all per-case answers to the nearest cent. a. Determine the single plantwide factory overhead rate. X per processing hour b. Use the overhead rate in (a) to determine the amount of total and per-case overhead allocated to each of the three products under generally accepted accounting prir Total Factory Overhead Per-Case Factory Overhead Tortilla chips Potato chips Pretzels Total
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