Single Plantwide Factory Overhead Rate

Scrumptious Snacks Inc. manufactures three types of snack foods: tortilla chips, potato chips, and pretzels. The company has budgeted the following costs for the upcoming period:

Factory depreciation		$15,974
Indirect labor		39,587
Factory electricity		4,514
Indirect materials		9,375
Selling expenses		22,224
Administrative expenses		12,501
	Total costs	$104,175

Factory overhead is allocated to the three products on the basis of processing hours. The products had the following production budget and processing hours per case:

		Budgeted Volume (Cases)				Processing Hours Per Case
Tortilla chips			3,000			0.10
Potato chips			2,700			0.12
Pretzels			5,100			0.15
	Total		10,800

If required, round all per-case answers to the nearest cent.

a. Determine the single plantwide factory overhead rate. $ fill in the blank 1 per processing hour

b. Use the overhead rate in (a) to determine the amount of total and per-case overhead allocated to each of the three products under generally accepted accounting principles.

	Total Factory Overhead	Per-Case Factory Overhead
Tortilla chips	$ fill in the blank 2	$ fill in the blank 3
Potato chips	fill in the blank 4	fill in the blank 5
Pretzels	fill in the blank 6	fill in the blank 7
Total	$ fill in the blank 8