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 $285,957, using 240,300 direct labor hours. The factory overhead budget for the Assembly Department is $362,356, using 62,800 direct labor hours. If a table lamp requires 3 hours of fabrication and 6 hour of assembly, the amount of factory overhead that Kaumajet Factory will allocate to each unit of table lamp using the multiple production department factory overhead rate method with an allocation base of direct labor hours is a.$92.91 b.$5.77 c.$10.32 d.$38.19
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 $285,957, using 240,300 direct labor hours. The factory overhead budget for the Assembly Department is $362,356, using 62,800 direct labor hours. If a table lamp requires 3 hours of fabrication and 6 hour of assembly, the amount of factory overhead that Kaumajet Factory will allocate to each unit of table lamp using the multiple production department factory overhead rate method with an allocation base of direct labor hours is a.$92.91 b.$5.77 c.$10.32 d.$38.19
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Kaumajet Factory produces two products: table lamps and desk lamps. It has two separate departments: Fabrication and Assembly. The factory
If a table lamp requires 3 hours of fabrication and 6 hour of assembly, the amount of factory overhead that Kaumajet Factory will allocate to each unit of table lamp using the multiple production department factory overhead rate method with an allocation base of direct labor hours is
a.$92.91
b.$5.77
c.$10.32
d.$38.19
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