Laval produces lighting fixtures. Budgeted information for its two production departments follows. The departments use machine hours $($MH$)$ and direct labor hours $($DLH$).$

Fabricating Assembly

Overhead cost $ $800,000$ $ $828,000$

Direct labor hours $116,800$ DLH $46,000$ DLH

Machine hours $100,000$ MH $81,500$ MH

Laval reports the following for one of its products, a desk lamp.

Number of Units Fabricating Department Assembly Department

Direct Labor Hours per Unit Machine Hours per Unit Direct Labor Hours per Unit Machine Hours per Unit

Desk lamp $6,0003$ DLH per unit $2$ MH per unit $1$ DLH per unit $0\mathrm{.}3$ MH per unit

Required $1$:

Determine the plantwide overhead rate using $162,800$ direct labor hours as the allocation base.

$2$: Determine the overhead cost per unit for the desk lamp using the plantwide overhead rate.

$3$: ompute departmental overhead rates based on machine hours in the Fabricating department and direct labor hours in the Assembly department.

$4$: Determine the overhead cost per unit for the desk lamp using the departmental overhead rates.Determine the plantwide overhead rate using $162,800$ direct labor hours as the allocation base.