Question 1 Altex Inc. manufactures two products: car wheels and truck wheels. To determine the amount of overhead to assign to each product line, the controller, Robert Hermann, has developed the following information. am: SP 18 stion 2 Car Truck 36,500 10,000 Estimated wheels produced Direct labor hours per wheel Total estimated overhead costs for the two product lines are $848,000. Calculate overhead rate. (Round answer to 2 decimal places, e.g. 12.25.) view Score A: eview Results by Study bjective Overhead rates per direct labor hour Compute the overhead cost assigned to the car wheels and truck wheels, assuming that direct labor hours is used to allocate overhead costs. (Round answers to O decimal places, e.g. 1,575.) Car wheels Truck wheels Q: Alt the Hermann is not satisfied with the traditional method of allocating overhead because he believes that most of the overhead costs relate to the truck wheels product line because of its complexity. He therefore develops the following three activity cost pools and related cost drivers to better understand these costs. A: (1x30 Expected Use of Cost Drivers Q: Altex the an Estimated Overhead Activity Cost Pools Setting up machines 1,000 setups $221,000 343,000 66,500 labor hours A: Answer: C Search or enter website name 2 3 4. 5 6