! Required information Use the following information for the Exercises below. (Algo) [The following information applies to the questions displayed below.] Textra produces parts for a machine manufacturer. Parts go through two departments, Molding and Trimming. The company budgets overhead cost of $246,250 in the Molding department and $206,250 in the Trimming department. The company budgets 16,000 machine hours (MH) in Molding and 25,000 direct labor hours (DLH) in Trimming. Actual production information follows. Number of Molding Department Units Hours per Unit Part Z Part X Totals 3,000 2.0 MH per unit 4,000 2.5 MH per unit Total Hours 6,000 MH 10,000 MH 16,000 MH Trimming Department Hours per Unit 3 DLH per unit Total Hours 4 DLH per unit 9,000 DLH 16,000 DLH 25,000 DLH Exercise 17-8 (Algo) Departmental overhead rates LO P2 Required: 1. Compute a departmental overhead rate for the Molding department based on machine hours and a departmental overhead rate for the Trimming department based on direct labor hours. 2. Determine the overhead cost per unit for each part using the departmental rates. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Compute a departmental overhead rate for the Molding department based on machine hours and a departmental overhead rate for the Trimming department based on direct labor hours. Molding Trimming
! Required information Use the following information for the Exercises below. (Algo) [The following information applies to the questions displayed below.] Textra produces parts for a machine manufacturer. Parts go through two departments, Molding and Trimming. The company budgets overhead cost of $246,250 in the Molding department and $206,250 in the Trimming department. The company budgets 16,000 machine hours (MH) in Molding and 25,000 direct labor hours (DLH) in Trimming. Actual production information follows. Number of Molding Department Units Hours per Unit Part Z Part X Totals 3,000 2.0 MH per unit 4,000 2.5 MH per unit Total Hours 6,000 MH 10,000 MH 16,000 MH Trimming Department Hours per Unit 3 DLH per unit Total Hours 4 DLH per unit 9,000 DLH 16,000 DLH 25,000 DLH Exercise 17-8 (Algo) Departmental overhead rates LO P2 Required: 1. Compute a departmental overhead rate for the Molding department based on machine hours and a departmental overhead rate for the Trimming department based on direct labor hours. 2. Determine the overhead cost per unit for each part using the departmental rates. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Compute a departmental overhead rate for the Molding department based on machine hours and a departmental overhead rate for the Trimming department based on direct labor hours. Molding Trimming
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
Note:-
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![Required information
Use the following information for the Exercises below. (Algo)
[The following information applies to the questions displayed below.]
Textra produces parts for a machine manufacturer. Parts go through two departments, Molding and Trimming. The
company budgets overhead cost of $246,250 in the Molding department and $206,250 in the Trimming department. The
company budgets 16,000 machine hours (MH) in Molding and 25,000 direct labor hours (DLH) in Trimming. Actual
production information follows.
Number of
Units
Molding Department
Hours per Unit
Part Z
Part X
Totals
3,000
2.0 MH per unit
4,000
2.5 MH per unit
Total Hours
6,000 MH
10,000 MH
16,000 MH
Trimming Department
Hours per Unit
3 DLH per unit
Total Hours
9,000 DLH
4 DLH per unit
16,000 DLH
25,000 DLH
Exercise 17-8 (Algo) Departmental overhead rates LO P2
Required:
1. Compute a departmental overhead rate for the Molding department based on machine hours and a departmental overhead rate for
the Trimming department based on direct labor hours.
2. Determine the overhead cost per unit for each part using the departmental rates.
Complete this question by entering your answers in the tabs below.
Required 1 Required 2
Compute a departmental overhead rate for the Molding department based on machine hours and a departmental overhead
rate for the Trimming department based on direct labor hours.
Molding
Trimming
< Required 1
Required 2 >](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F6a6fd715-de63-4054-8cde-b434e77b233a%2F895c8a64-db42-4418-abaa-96e3beb7caa7%2F74agcm_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Required information
Use the following information for the Exercises below. (Algo)
[The following information applies to the questions displayed below.]
Textra produces parts for a machine manufacturer. Parts go through two departments, Molding and Trimming. The
company budgets overhead cost of $246,250 in the Molding department and $206,250 in the Trimming department. The
company budgets 16,000 machine hours (MH) in Molding and 25,000 direct labor hours (DLH) in Trimming. Actual
production information follows.
Number of
Units
Molding Department
Hours per Unit
Part Z
Part X
Totals
3,000
2.0 MH per unit
4,000
2.5 MH per unit
Total Hours
6,000 MH
10,000 MH
16,000 MH
Trimming Department
Hours per Unit
3 DLH per unit
Total Hours
9,000 DLH
4 DLH per unit
16,000 DLH
25,000 DLH
Exercise 17-8 (Algo) Departmental overhead rates LO P2
Required:
1. Compute a departmental overhead rate for the Molding department based on machine hours and a departmental overhead rate for
the Trimming department based on direct labor hours.
2. Determine the overhead cost per unit for each part using the departmental rates.
Complete this question by entering your answers in the tabs below.
Required 1 Required 2
Compute a departmental overhead rate for the Molding department based on machine hours and a departmental overhead
rate for the Trimming department based on direct labor hours.
Molding
Trimming
< Required 1
Required 2 >
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