Exercise 4-9 (Algo) Allocating overhead using plantwide rate and departmental rates LO P1, P2 Laval produces lighting fixtures. Budgeted information for its two production departments follows. The departments use machine hours (MH) and direct labor hours (DLH). Fabricating. $ 528,000 209,000 DLH 66,000 MH Laval reports the following for one of its products, a desk lamp. Fabricating Department Overhead cost Direct labor hours Machine hours Desk Lamp Required 1 Required 2 Units 4,000 Required: 1. Determine the plantwide overhead rate using 231,000 direct labor hours as the allocation base. 2. Determine the overhead cost per unit for the desk lamp using the plantwide overhead rate. 3. Compute departmental overhead rates based on machine hours in the Fabricating department and direct labor hours in the Assembly department. 4. Determine the overhead cost per unit for the desk lamp using the departmental overhead rates. Number of Direct Labor Hours per Unit 5 DLH per unit Complete this question by entering your answers in the tabs below. Desk lamp Assembly $ 396,000 Required 1 Determine the plantwide overhead rate using 231,000 direct labor hours as the allocation base. Required 1 Required 2 Required 3. 22,000 DLH 69,500 MH Required 1 Machine Hours per Unit 4 MH per unit Required 3 Required 4 Complete this question by entering your answers in the tabs below. Required 2 Department = Fabricating Assembly Total Determine the overhead cost per unit for the desk lamp using the plantwide overhead rate. Required 1 Required 4 Required 2 Plantwide Overhead Rate Complete this question by entering your answers in the tabs below. Assembly Department Direct Labor Hours Machine Hours per per Unit Unit 3 DLH per unit 0.3 MH per unit Required 2 > < Required 1 Required 3 Required 4 What is the departmental overhead rate for the Assembly Department? Compute departmental overhead rates based on machine hours in the Fabricating department and direct labor hours in the Assembly department. What is the departmental overhead rate for the Fabricating Department? Required 2 Required 4 > Complete this question by entering your answers in the tabs below. Hours Used Required 3 Required 4 Departmental Overhead Rate Required 3 Required 3 Determine the overhead cost per unit for the desk lamp using the departmental overhead rates. Overhead Cost per Unit > Hours per Unit Overhead Cost per Unit Required 4 >
Exercise 4-9 (Algo) Allocating overhead using plantwide rate and departmental rates LO P1, P2 Laval produces lighting fixtures. Budgeted information for its two production departments follows. The departments use machine hours (MH) and direct labor hours (DLH). Fabricating. $ 528,000 209,000 DLH 66,000 MH Laval reports the following for one of its products, a desk lamp. Fabricating Department Overhead cost Direct labor hours Machine hours Desk Lamp Required 1 Required 2 Units 4,000 Required: 1. Determine the plantwide overhead rate using 231,000 direct labor hours as the allocation base. 2. Determine the overhead cost per unit for the desk lamp using the plantwide overhead rate. 3. Compute departmental overhead rates based on machine hours in the Fabricating department and direct labor hours in the Assembly department. 4. Determine the overhead cost per unit for the desk lamp using the departmental overhead rates. Number of Direct Labor Hours per Unit 5 DLH per unit Complete this question by entering your answers in the tabs below. Desk lamp Assembly $ 396,000 Required 1 Determine the plantwide overhead rate using 231,000 direct labor hours as the allocation base. Required 1 Required 2 Required 3. 22,000 DLH 69,500 MH Required 1 Machine Hours per Unit 4 MH per unit Required 3 Required 4 Complete this question by entering your answers in the tabs below. Required 2 Department = Fabricating Assembly Total Determine the overhead cost per unit for the desk lamp using the plantwide overhead rate. Required 1 Required 4 Required 2 Plantwide Overhead Rate Complete this question by entering your answers in the tabs below. Assembly Department Direct Labor Hours Machine Hours per per Unit Unit 3 DLH per unit 0.3 MH per unit Required 2 > < Required 1 Required 3 Required 4 What is the departmental overhead rate for the Assembly Department? Compute departmental overhead rates based on machine hours in the Fabricating department and direct labor hours in the Assembly department. What is the departmental overhead rate for the Fabricating Department? Required 2 Required 4 > Complete this question by entering your answers in the tabs below. Hours Used Required 3 Required 4 Departmental Overhead Rate Required 3 Required 3 Determine the overhead cost per unit for the desk lamp using the departmental overhead rates. Overhead Cost per Unit > Hours per Unit Overhead Cost per Unit Required 4 >
Chapter1: Financial Statements And Business Decisions
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