Question
Required information SB Angle Max Industries produces a product... [The following information applies to the questions displayed below.] Angle Max Industries produces a product which
Required information
SB Angle Max Industries produces a product...
[The following information applies to the questions displayed below.] Angle Max Industries produces a product which goes through two operations, Assembly and Finishing, before it is ready to be shipped. Next years expected costs and activities are shown below.
Assembly | Finishing | |||||||
Direct labor hours | 190,000 | DLH | 149,000 | DLH | ||||
Machine hours | 390,000 | MH | 95,550 | MH | ||||
Overhead costs | $ | 390,000 | $ | 581,100 | ||||
TB MC Qu. 17-117 Assume that the Assembly Department allocates...
Assume that the Assembly Department allocates overhead based on machine hours, and the Finishing Department allocates overhead based on direct labor hours. How much total overhead will be assigned to a product that requires 1 direct labor hour and 3.4 machine hours in the Assembly Department, and 4.0 direct labor hours and 0.6 machine hours in the Finishing Department?
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