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Spotted Cow Dairy Company manufactures three products-whole milk, skim milk, and cream-in two production departments, Blending and Packing. The factory overhead for Spotted Cow Dairy
Spotted Cow Dairy Company manufactures three products-whole milk, skim milk, and cream-in two production departments, Blending and Packing. The factory overhead for Spotted Cow Dairy is $285,600. The three products consume both machine hours and direct labor hours in the two production departments as follows Direct Labor Machine Hours Hours Blending Department Whole milk 350 910 380 Skim milk 830 290 330 Cream 1,020 2,070 Packing Department Whole milk 450 510 710 Skim milk 630 200 190 Cream 1,360 1,330 2,380 3,400 Total Required: 1. Determine the single plantwide factory overhead rate, using each of the following al location bases: (a) direct labor hours and (b) machine hours. If required, round all amounts to the nearest dollar per direct labor hour a. Direct labor overhead rate 1. Determine the single plantwide factory overhead rate, using each of the following allocation bases: (a) direct labor hours and (b) machine hours. If required, round all amounts to the nearest dollar. per direct labor hour a. Direct labor overhead rate b. Machine hour overhead rate per machine hour 2. Determine the product factory overhead costs, using (a) the direct labor hour plantwide factory overhead rate and (b) the machine hour plantwide factory overhead rate. Whole Milk Skim Milk Cream Direct labor hours $ Machine hours
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