Requirement 1. Compute the company's current plantwide overhead rate. (Round your answer to the nearest dollar) Begin by determining the formula, then compute the rate. Plantwide overhead rate Panth Products mancuesta products in two separate departments Machining and Antily Toaletung verhead costs for the web.000 of mount, the Machining Deputus se ormarly for machine operation and depreciation while the sembly Department nous $456.000. The company times I wil er 4.000 machine hours in the Machining room and 2.800 Greator hours (1.400 in the Machining Depind 8,000 in the sembly Department during the year (clotheson to view the di normation) Data Table Perreth Products currently uses a plantwide overhead rate based on direct labor hours to allocate overhead. However, the company is considering refining its overhead allocation system by using departmental overhead rates. The Machining Department would allocate its overhead using machine hours (MH), but the Assembly Department would allocate its overhead using direct labor (DL) hours. The following chart shows the machine hours (MH) and direct labor (DL) hours incurred by Jobs 500 and 501 in each production department: Machining Assembly Department Department Job 500 7 MH 15 DL hours 2 DL hours Job 501 ... 14 MH 15 DL hours 2 DL hours Both Jobs 500 and 501 used $1,000 of direct materials. Wages and benefits total $30 per direct labor hour. Perreth Products prices its products at 120% of total manufacturing costs. Print Done year. X Requirements 1. Compute the company's current plantwide overhead rate. 2. Compute refined departmental overhead rates. 3. Which job (Job 500 or Job 501) uses more of the company's resources? Explain. 4. Compute the total amount of overhead allocated to each job if the company uses its current plantwide overhead rate. 5. Compute the total amount of overhead allocated to each job if the company uses departmental overhead rates. 6. Do both allocation systems accurately reflect the resources that each job used? Explain. 7. Compute the total manufacturing cost and sales price of each job using the company's current plantwide overhead rate. 8. Based on the current (plantwide) allocation system, how much profit did the company think it earned on each job? Based on the departmental overhead rates and the sales price determined in Requirement 7. how much profit did it really earn on each job? 9. Compare and comment on the results you obtained in Requirements 7 and 8. Print Done