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Stuart Company makes three products in its factory: plastic cups, plastic tablecloths, and plastic bottles. The expected overhead costs for the next fiscal year include

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Stuart Company makes three products in its factory: plastic cups, plastic tablecloths, and plastic bottles. The expected overhead costs for the next fiscal year include the following: Factory manager's salary Factory utility cost Factory supplies Total overhead costs $213,450 77,000 28,000 $318,450 Stuart uses machine hours as the cost driver to allocate overhead costs. Budgeted machine hours for the products are as follows: Cups Tablecloths Bottles Total machine hours 280 Hours 700 950 1,930 Required a. Allocate the budgeted overhead costs to the products. Allocation Rate x Weight of Base = Allocated Cost Product Cups Tablecloths $ 0 X 0 0 Bottles Total $ 0

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