The Kaumajet Factory produces two products table lamps and desk lamps. It has two separate departments - Finishing and Production. The overhead budget for the Finishing Department is $594,660, using 374,000 direct labor hours. The overhead budget for the Production Department is $453,429 using 60,700 direct labor hours. If the budget estimates that a desk lamp will require 3 hours of finishing and 6 hours of production, how much factory overhead will the Kaumajet Factory allocate to each unit of desk lamps using the multiple production department factory overhead rate method with an allocation base of direct labor hours? a. $7.47 b. $155.39 c. $17.27 d. $49.59

The Kaumajet Factory produces two products table lamps and desk lamps. It has two separate departments - Finishing and Production. The overhead budget for the Finishing Department is $594,660, using 374,000 direct labor hours. The overhead budget for the Production Department is $453,429 using 60,700 direct labor hours. If the budget estimates that a desk lamp will require 3 hours of finishing and 6 hours of production, how much factory overhead will the Kaumajet Factory allocate to each unit of desk lamps using the multiple production department factory overhead rate method with an allocation base of direct labor hours? a. $7.47 b. $155.39 c. $17.27 d. $49.59

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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