Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Laval produces lamps and home lighting fixtures. Its most popular product is a brushed aluminum desk lamp. This lamp is made from components shaped in

image text in transcribedimage text in transcribedimage text in transcribedimage text in transcribedimage text in transcribed

Laval produces lamps and home lighting fixtures. Its most popular product is a brushed aluminum desk lamp. This lamp is made from components shaped in the fabricating department and assembled in the assembly department. Information related to the 23,000 desk lamps produced annually follows. $260,000 Direct materials Direct labor Fabricating department (8,000 DLH * $28 per DLH) Assembly department (15,800 DLH * $28 per DLH) Machine hours Fabricating department Assembly department $ 224,000 $ 442,400 15,300 MH 20,100 MH Expected overhead cost and related data for the two production departments follow. Direct labor hours Machine hours Overhead cost Fabricating 170,000 DLH 162,000 MH $320,000 Assembly 255,000 DLH 122,000 MH $415,000 Required 1. Determine the plantwide overhead rate for Laval using direct labor hours as a base. 2. Determine the total manufacturing cost per unit for the aluminum desk lamp using the plantwide overhead rate. 3. Compute departmental overhead rates based on machine hours in the fabricating department and direct labor hours in the assembly department. 4. Use departmental overhead rates from requirement 3 to determine the total manufacturing cost per unit for the aluminum desk lamps. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Determine the plantwide overhead rate for Laval using direct labor hours as a base. Required 1 Required 2 > Required 1 Required 2 Required 3 Required 4 Determine the total manufacturing cost per unit for the aluminum desk lamp using the plantwide overhead rate. Total manufacturing costs Units produced Manufacturing cost per unit Required 1 Required 2 Required 3 Required 4 Compute departmental overhead rates based on machine hours in the fabricating department and direct labor hours in the assembly department. (Round your answers to 2 decimal places.) Departmental overhead rate MH Fabricating Assembly DLH Required 1 Required 2 Required 3 Required 4 Use departmental overhead rates from requirement 3 to determine the total manufacturing cost per unit for the aluminum desk lamps. Direct labor Overhead per unit Required 3 Required 4 )

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Accounting

Authors: Robert Libby, Patricia Libby, Frank Hodge

10th Edition

1260481352, 978-1260481358

More Books

Students also viewed these Accounting questions

Question

Which are non projected Teaching aids in advance learning system?

Answered: 1 week ago

Question

5. A review of the key behaviors is included.

Answered: 1 week ago

Question

3. An overview of the key behaviors is presented.

Answered: 1 week ago