Kaumajet Factory produces two products: table lamps and desk lamps. It has two separate departments: Fabrication and Assembly. The factory overhead budget for the Fabrication Department is $561,300, using 374,200 direct labor hours. The factory overhead budget for the Assembly Department is $347,360, using 52,000 direct labor hours. If a desk lamp requires 2 hour of fabrication and 5 hours of assembly, the total amount of factory overhead that Kaumajet Factory will allocate to desk lamps using the multiple production department factory overhead rate method with an allocation base of direct labor hours if 11,800 units are produced is Oa. $78,824 Ob. $206,188 Oc. $176,104 Od. $429,520
Kaumajet Factory produces two products: table lamps and desk lamps. It has two separate departments: Fabrication and Assembly. The factory overhead budget for the Fabrication Department is $561,300, using 374,200 direct labor hours. The factory overhead budget for the Assembly Department is $347,360, using 52,000 direct labor hours. If a desk lamp requires 2 hour of fabrication and 5 hours of assembly, the total amount of factory overhead that Kaumajet Factory will allocate to desk lamps using the multiple production department factory overhead rate method with an allocation base of direct labor hours if 11,800 units are produced is Oa. $78,824 Ob. $206,188 Oc. $176,104 Od. $429,520
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Transcribed Image Text:Kaumajet Factory produces two products: table lamps and desk lamps. It has two separate departments: Fabrication and Assembly. The factory overhead budget for the Fabrication Department is
$561,300, using 374,200 direct labor hours. The factory overhead budget for the Assembly Department is $347,360, using 52,000 direct labor hours.
If a desk lamp requires 2 hour of fabrication and 5 hours of assembly, the total amount of factory overhead that Kaumajet Factory will allocate to desk lamps using the multiple production department
factory overhead rate method with an allocation base of direct labor hours if 11,800 units are produced is
Oa. $78,824
Ob. $206,188
Oc. $176,104
Od. $429,520
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