Freeze Frame, Inc. produces cameras which require three processes, A, B and C, to complete. Digital camera model #789 is the best selling of all the many types of cameras produced. Information related to the 550,000 units of digital camera model #789 produced annually is shown below. Direct materials $450.000 Direct Labor Department A (7.000 DLI x $21 per DLH) $147.000 Department B (25.000 DLH x $19 per DLH) $475.000 Department C (10.000 DLH x $26 per DLH) $260.000 Machine Hours Department A 42.000 MH Department B 23.000 MH Department C 38.000 MH Freeze Frame's total expected overhead costs and related overhead data are shown below. Department A Department Department B Direct labor hours 90.000 DLH 75.000 DLH 42.000 DLH Machine hours 67.500 MH 135.000 MH 53.200 MH Manufacturing overhead $540.000 $675.000 $399.000 costs (a.) Compute a departmental overhead rate for department A based on direct labor hours. (b.) How much overhead is associated with model 789 from department A? (c.) Compute a departmental overhead rate for department B based on direct labor hours. (d.) How much overhead is associated with model 789 from department B? (e.) Compute a departmental overhead rate for department C based on direct labor hours. (f.) How much overhead is associated with model 789 from department C? (g) What is the per unit cost of the 550,000 units of model 789?
Freeze Frame, Inc. produces cameras which require three processes, A, B and C, to complete. Digital camera model #789 is the best selling of all the many types of cameras produced. Information related to the 550,000 units of digital camera model #789 produced annually is shown below. Direct materials $450.000 Direct Labor Department A (7.000 DLI x $21 per DLH) $147.000 Department B (25.000 DLH x $19 per DLH) $475.000 Department C (10.000 DLH x $26 per DLH) $260.000 Machine Hours Department A 42.000 MH Department B 23.000 MH Department C 38.000 MH Freeze Frame's total expected
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