Textra Plastics produces parts for a variety of small machine manufacturers. Most products go through two operations, molding and trimming, before they are ready for packaging. Expected costs and activities for the molding department and for the trimming department for 2017 follow.

	Molding			Trimming
Direct labor hours		53,000	DLH		50,000	DLH
Machine hours		39,000	MH		4,500	MH
Overhead costs	$	810,000		$	560,000

Data for two special order parts to be manufactured by the company in 2017 follow.

	Part A27C			Part X82B
Number of units		10,800	units		54,000	units
Machine hours
Molding		5,300	MH		1,060	MH
Trimming		2,600	MH		650	MH
Direct labor hours
Molding		4,000	DLH		2,250	DLH
Trimming		900	DLH		4,500	DLH

Required 1. Compute the plantwide overhead rate using direct labor hours as the base. 2. Determine the overhead cost assigned to each product line using the plantwide rate computed in requirement 1.

1.

Compute the plantwide overhead rate using direct labor hours as the base.

2.

Determine the overhead cost assigned to each product line using the plantwide rate computed in requirement 1. (Round "OH rate" to 2 decimal places.)

Part	Activity Driver	Plantwide OH rate	Total Overhead Cost
A27C
X82B