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QUESTION 20 Blue Ridge Marketing Inc, manufactures two products. A and B. Presently, the company uses a single plantwide factory Overhead rate for allocating overhead

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QUESTION 20 Blue Ridge Marketing Inc, manufactures two products. A and B. Presently, the company uses a single plantwide factory Overhead rate for allocating overhead to products. However, management is considering moving to a multiple department rate system for allocating overhead. The following table presents information about estimated overhead and direct labor hours 1 points Save a Product Overhead $248,000 72.000 $320,000 Painting Dept. Finishing Dept. Totals T Direct Labor Hours (db) 10,000 dih 10.000 20.000 dih 4 16 dih 4 20 dih dih 16 20 dih Determine the overhead from both production departments allocated to each unit of Product A if the company uses a multiple department rate system. $396.80 per unit $425.60 per unit $320.00 per unit $214.40 per unit

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