Sanderson's Fine Furnishings manufactures upscale custom furniture. Sanderson's curently uses a plantwide overhead rate based on direct labor hours to allocate to $1,000,000 of manufacturing overhead to individual jobs. However, Margar Garmon, owner and CEO, is considering refining the company's costing system by using departmental overhead rates. Currently, the Machining Department inours $660,000 of manufacturing overhead while the Frishing Department incurs $340,000 of manufacturing overhead. Garmon has identified machine hours (MH) as the primary manufacturing overhead cost driver in the Machining Department and direct labor (DL) hours as the primary cost driver in the Finishing Department (Click the icon to view the job information.) Read the cement Requirement 1. Compute the plantwide overhead rate assuming that Sanderson's expects to incur 20,000 total DL hours during the year First identify the formula, then compute the rate. (Round your answer to the nearest whole dollar) Total manufacturing overhead 1,000,000 Cost allocation base (estimated) 20.000 Plantwide overhead cate Requirement 2. Compute departmental overhead rates assuming that Sanderson's expects to incur 15,000 MH in the Machining Department and 17.000 DL hours in the Finishing Department during the year First identify the formula, then compute the rate for each department. (Round your answers to the nearest whole dollar) Machining Finishing Total department overhead 660.000 340,000 Departmental Cost allocation base estimated) 15,000 17,000 $20 per DL hour Requirement 3. If Sanderson's continues to use the plantwide overhead rate, how much manufacturing overhead would be allocated to Job 450 and Job 4567 First identify the formula, then calculate the amount of manufacturing overhead that would be allocated to the jobs if the plantwide overhead rate is used (Pound your answers to the rest whole) Video Get more help- Clear all Check answer