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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

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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 this year follow. Direct labor hours Machine hours Overhead costs Molding 43,000 DLM 40,500 MM $760,000 Trimming 50,000 DLH 4,800 MH $600,000 Data for two special-order parts to be manufactured by the company in this year follow. Part A270 9,800 units Part X820 55,000 units Number of units Machine hours Molding Trimming Direct labor hours Molding Trimming 6,100 MH 2,600 MH 1,220 MM 650 MM 4,000 DLH 700 DLH 2,650 DLH 3,500 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

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