### Transcription for Educational Website**Problem 23: Siding Company Analysis**Siding Company manufactures three types of siding for homes: Tin, Wood, and Vinyl. The budgeted factory overhead cost is $3,000,000. The overhead is allocated to the three products based on direct labor hours. The table below shows the budgeted production volumes and direct labor hours per unit for each product:| Product | Expected Volume | Direct Labor Hours/Unit || ------- | --------------- | ----------------------- || Tin | 5,000 units | 5.0 || Wood | 4,000 units | 3.0 || Vinyl | 2,000 units | 7.0 |**Tasks:**1. Calculate the Single Plantwide Overhead Rate.2. Calculate the overhead allocated to each product.**Note:** Round any answers to two decimal places. You will need to calculate the total activity base as it is not provided in the problem.**Calculation Section:**- **Rate:**- **Overhead Per Unit:** - Tin: - Wood: - Vinyl: **Instructions for Calculation:**To determine the required overhead allocations, find the total direct labor hours for all products and then calculate the overhead rate per direct labor hour. Use this rate to allocate the overhead to each product based on its specific labor hours. Fill in the blanks provided with these calculations for a comprehensive understanding.

23: Siding Company manufactures 3 types of siding for homes: Tin, Wood and Vjga), The budgeted factory overhead cost is $3,000,000. Overhead is allocated to the three products on the basis of direct labor hours. The products have the following budgeted production volumes and direct labor hours / unit: Expected Volume Direct Labor Hours / Unit Tin Wood 5,000 units 4,000 units 5.0 3.0 Vival 2,000 units 7.0 Calculate 1: the Single Plantxide Overhead Rate, and 2: The overhead allocated to each product. Round any answers to 2 decimal places. Hint: you will need to calculate the total activity base as it is not given!

23: Siding Company manufactures 3 types of siding for homes: Tin, Wood and Vjga), The budgeted factory overhead cost is $3,000,000. Overhead is allocated to the three products on the basis of direct labor hours. The products have the following budgeted production volumes and direct labor hours / unit: Expected Volume Direct Labor Hours / Unit Tin Wood 5,000 units 4,000 units 5.0 3.0 Vival 2,000 units 7.0 Calculate 1: the Single Plantxide Overhead Rate, and 2: The overhead allocated to each product. Round any answers to 2 decimal places. Hint: you will need to calculate the total activity base as it is not given!

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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