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Oriole Corporation manufactures safes-large mobile safes, and large walk-in stationary bank safes. As part of its annual budgeting process, Oriole is analyzing the profitability
Oriole Corporation manufactures safes-large mobile safes, and large walk-in stationary bank safes. As part of its annual budgeting process, Oriole is analyzing the profitability of its two products. Part of this analysis involves estimating the amount of overhead to be assigned to each product line. The following information relates to overhead. Mobile Safes Walk-In Safes Units planned for production 250 50 Material moves per product line Purchase orders per product line Direct labor hours per product line 450 280 400 600 800 1,600 The total estimated manufacturing overhead was $312,000. Under traditional costing (which assigns overhead on the basis of direct labor hours), what amount of manufacturing overhead costs are assigned to: (Round answers to 2 decimal places, eg 15.25) 1. One mobile safe 2. One walk-in safe Manufacturing overhead $ each $ each
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