Single Plantwide Factory Overhead Rate

The total factory overhead for Bardot Marine Company is budgeted for the year at $1,305,000. Bardot Marine manufactures two types of boats: speedboats and bass boats. The speedboat and bass boat each require six direct labor hours for manufacture. Each product is budgeted for 7,500 units of production for the year.

When required, round all per unit answers to the nearest cent.

a. Determine the total number of budgeted direct labor hours for the year. direct labor hours

b. Determine the single plantwide factory overhead rate. per dlh

c. Determine the factory overhead allocated per unit for each product using the single plantwide factory overhead rate.

Speedboat
Bass boat

Hercules Inc. manufactures elliptical exercise machines and treadmills. The products are produced in its Fabrication and Assembly production departments. In addition to production activities, several other activities are required to produce the two products. These activities and their associated activity rates are as follows:

Activity	Activity Rate
Fabrication	$21	per machine hour
Assembly	$16	per direct labor hour
Setup	$45	per setup
Inspecting	$25	per inspection
Production scheduling	$17	per production order
Purchasing	$14	per purchase order

The activity-base usage quantities and units produced for each product were as follows:

Activity Base	Elliptical Machines		Treadmill
Machine hours	1,729		1,020
Direct labor hours	440		172
Setups	59		18
Inspections	745		447
Production orders	71		14
Purchase orders	175		107
Units produced	293		196

Use the activity rate and usage information to determine the total activity cost and activity cost per unit for each product. If required, round the per unit answers to the nearest cent.