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Textra produces parts for a machine manufacturer. Parts go through two departments, Molding and Trimming. The company budgets overhead cost of $$242,500$ in the Molding department and $$202,500$ in the Trimming department. The company budgets $16,000$ machine hours $($MH$)$ in Molding and $25,000$ direct labor hours $($DLH$)$ in Trimming. Actual production information follows.

Required:

Compute the plantwide overhead rate using direct labor hours as the allocation base.

Determine the overhead cost per unit for each part using the plantwide rate.

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Compute the plantwide overhead rate using direct labor hours as the allocation base.

$4$

Required information

$[$The following information applies to the questions displayed below.$]$

Textra produces parts for a machine manufacturer. Parts go through two departments, Molding and Trimming. The company budgets overhead cost of $$242,500$ in the Molding department and $$202,500$ in the Trimming department. The company budgets $16,000$ machine hours $($MH$)$ in Molding and $25,000$ direct labor hours $($DLH$)$ in Trimming. Actual production information follows.

$\backslash$table$[[,\backslash$table$[[$Number of$],[$Units$]],$Molding Department,Trimming Department$],[$Part $Z,3,000,2\mathrm{.}0MH$ per Unit,Total Hours,Hours per Unit,Total Hours$],[$Part $x,4,000,2\mathrm{.}5MH$ per unit,$6,000MH,3DLH$ per unit,$9,000DLH$