Reference no: EM132571469
Ramapo Company produces two products, Blinks and Dinks. They are manufactured in two departments, Fabrication and Assembly. Data for the products and departments are listed below.
Product : Blinks and Dinks
Number of Units: 1,116(blinks) and 1,871(Dinks)
Direct Labor Hours Per Unit: 5(blinks) and 8(dinks)
Machine Hours Per Unit: 4(blinks) and 8(dinks)
All of the machine hours take place in the Fabrication department, which has an estimated overhead of $82,800. All of the labor hours take place in the Assembly department, which has an estimated total overhead of $96,800.
Question 1: Ramapo Company uses a single plantwide overhead rate to apply all factory overhead costs based on direct labor hours. The factory overhead allocated per unit of Blinks is