Compute the plantwide factory overhead rate

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Reference no: EM13342377

Condelezza Co. manufactures two products, A and B, in two production departments, Assembly and Finishing. Condelezza Co. expects to produce 10,000 units of Product A and 20,000 units of Product B in the coming year. Budgeted factory overhead costs for the coming year are:

Assembly        310000

Finishing         240000

Total               550000

 

The machine hours expected to be used in the coming year are as follows:

                Assembly          finishing

Product a     15100               9000

Product b      4900                11000

Total            20000               20000     

 

Round your answers to two decimal places, if necessary.

a.  Compute the plantwide factory overhead rate.?$ per mh

Compute the production department factory overhead rates.

Assembly Dept.

$ per mh

Finishing Dept.

$ per mh

b.  Compute the factory overhead per unit for each product using:

The single plantwide rate:

Product A

$ per unit

Product B

$ per unit

Production department factory overhead rates:

Product A

$ per unit

Product B

$ per unit

 

 

Reference no: EM13342377

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