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Multiple Production Department Factory Overhead Rate Method Handy Leather, Inc., produces three sizes of sports gloves: small, medium, and large. 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 large. A glove pattern is first senciled onto leather in the Patter Department. The stenciled patterns are then sent to the Cut and Sew Department, where the glove is cut and sewed together. Handy Leather uses the multiple broduction department factory overhead ste method of allocating factory overhead costs. Its factory overhead costs were budgeted as follows: Pattern Department overhead $90,100 Out and Sew Department overhead 147,000 Total $237,100 The direct labor estimated for each production department was as follows: Pattern Department 1,700 direct labor hours Cut and Sew Department 2.100 Total 3,300 direct labor hours

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