Chapter 7, Problem 24E

Refer to the data in Exercise 7.22. The support departments are ranked in order of highest cost to lowest cost.

Required:

1. 1. Allocate the costs of the support departments using the sequential method. (Round allocation ratios to four significant digits. Round allocated costs to the nearest dollar.)
2. 2. Using direct labor hours, compute departmental overhead rates. (Round to the nearest cent.)