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 $800,442, using 437,400 direct labor hours. The factory overhead budget for the Assembly Department is $400,150, using 75,500 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 7,800 units are produced is Oa. $124,031 Ob. $127,807 Oc. $41,340 Od. $235,248
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 $800,442, using 437,400 direct labor hours. The factory overhead budget for the Assembly Department is $400,150, using 75,500 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 7,800 units are produced is Oa. $124,031 Ob. $127,807 Oc. $41,340 Od. $235,248
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 $800,442, using 437,400 direct labor hours. The factory overhead budget for the Assembly Department is $400,150, using 75,500 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 7,800 units are produced is
Oa. $124,031
Ob. $127,807
Oc. $41,340
Od. $235,248
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