Kaumajet Factory produces two products: table lamps and desk lamps. It has two separate departments: Fabrication and Assembly. The factory overhead budget for the Fabrication Department is $834,302, using 518,200 direct labor hours. The factory overhead budget for the Assembly Department is $518,020, using 87,800 direct labor hours. If a table lamp requires 2 hours of fabrication and 5 hour of assembly, the total amount of factory overhead that Kaumajet Factory will allocate to table lamps using the multiple production department factory overhead rate method with an allocation base of direct labor hours if 10,000 units are produced is Oa. $156,209 Ob. $59,000 Oc. $154,019 Od. $327,200
Kaumajet Factory produces two products: table lamps and desk lamps. It has two separate departments: Fabrication and Assembly. The factory overhead budget for the Fabrication Department is $834,302, using 518,200 direct labor hours. The factory overhead budget for the Assembly Department is $518,020, using 87,800 direct labor hours. If a table lamp requires 2 hours of fabrication and 5 hour of assembly, the total amount of factory overhead that Kaumajet Factory will allocate to table lamps using the multiple production department factory overhead rate method with an allocation base of direct labor hours if 10,000 units are produced is Oa. $156,209 Ob. $59,000 Oc. $154,019 Od. $327,200
Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter4: Activity-based Costing
Section: Chapter Questions
Problem 6E: Eclipse Motor Company manufactures two types of specialty electric motors, a commercial motor and a...
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