QS 17-5 Computing departmental overhead rates LO P2 Rafner Manufacturing identified the following budgeted data in its two production departments. Manufacturing overhead costs Direct labor hours Machine hours Assembly $1,247,500 12,500 DLH 6,500 MH Finishing $650,000 20,500 DLH 16,500 MH Required: What are the company's departmental overhead rates if the assembly department assigns overhead based on direct labor hours the finishing department assigns overhead based on machine hours? The departmental overhead rate for Assembly Total actual manufacturing costs The departmental overhead rate for Finishing $ 100 $ 2.56

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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QS 17-5 Computing departmental overhead rates LO P2
Rafner Manufacturing identified the following budgeted data in its two production departments.
Manufacturing overhead costs
Direct labor hours
Machine hours
Assembly
$1,247,500
12,500 DLH
6,500 MH
Finishing
$650,000
20,500 DLH
16,500 MH
Required:
What are the company's departmental overhead rates if the assembly department assigns overhead based on direct labor hours and
the finishing department assigns overhead based on machine hours?
The departmental overhead rate for Assembly
Total actual manufacturing costs
The departmental overhead rate for Finishing
$
0
100
$
2.56
39
Transcribed Image Text:QS 17-5 Computing departmental overhead rates LO P2 Rafner Manufacturing identified the following budgeted data in its two production departments. Manufacturing overhead costs Direct labor hours Machine hours Assembly $1,247,500 12,500 DLH 6,500 MH Finishing $650,000 20,500 DLH 16,500 MH Required: What are the company's departmental overhead rates if the assembly department assigns overhead based on direct labor hours and the finishing department assigns overhead based on machine hours? The departmental overhead rate for Assembly Total actual manufacturing costs The departmental overhead rate for Finishing $ 0 100 $ 2.56 39
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