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Multiple Production Department Factory Overhead Rate Method Handy Leather, Inc. produces three sizes of sports gloves: small, medium, and targe. A glove pattern is first

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Multiple Production Department Factory Overhead Rate Method Handy Leather, Inc. produces three sizes of sports gloves: small, medium, and targe. A glove pattern is first stenciled onto leather in the Pattern Department. The stenciled patterns are then sent to the Cut and Ser Department, where the glove is cut and sewed together. Handy Leather uses the multiple production department factory overhead rate method of allocating factory overhead costs. Its factory overhead costs were budgeted as follows: Pattern Department overhead $177,500 Cut and Sew Department overhead 291.400 Total 5468,900 The direct labor estimated for each production department was as follows: Pattern Department 2,500 direct labor hours Cut and Sew Department 3,100 Total 5,600 direct labor hours Direct labor hours are used to allocate the production department overhead to the products. The direct labor hours per unit for each product for each production department were obtained from the engineering records as follows Production Departments Small Glove Medium Glove Large Glove Pattern Department 0.04 0.05 0.06 Cut and Sew Department 0.07 0.09 0.11 Direct labor hours per unit 0.11 0.14 0.17 If required, round all per unit answers to the nearest cent. a. Determine the two production department factory overhead rates Pattern Department 2.500 direct labor hours Cut and Sew Department 3.100 Total 5,600 direct labor hours Direct labor hours are used to allocate the production department overhead to the products. The direct labor hours per unit for each product for each production department were obtained from the engineering records as follows: Production Departments Small Glove Medium Glove Large Glove Pattern Department 0.04 0.05 0.06 Cut and Sew Department 0.07 0.09 0.11 Direct labor hours per unit 0.11 0.14 0.17 If required, round alt per unit answers to the nearest cent. 1. Determine the two production department factory overhead rates Pattern Department per in Cut and Sew Department pern b. Use the two production department factory overhead rates to determine the factory overhead per unit for each product. Small glove per unit Medium glove Der unit Large glove per unit

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