Principles of Accounting Volume 2
Principles of Accounting Volume 2
19th Edition
ISBN: 9781947172609
Author: OpenStax
Publisher: OpenStax College
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Spates, Inc., manufactures and sells two products: Product H2 and Product EO. Data concerning the expected production of each product and the
expected total direct labor-hours (DLHS) required to produce that output appear below:
Direct
Total
Labor-
Direct
Expected
Production
Hours Per
Labor-
Unit
Hours
Product H2
100
6.0
600
Product E0
100
5.0
500
Total direct labor-hours
1,100
The company's expected total manufacturing overhead is $266,468.
If the company allocates all of its overhead based on direct labor-hours, the overhead assigned to each unit of Product H2 would be closest to: (Round
your intermediate calculations to 2 decimal places.)
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Transcribed Image Text:Spates, Inc., manufactures and sells two products: Product H2 and Product EO. Data concerning the expected production of each product and the expected total direct labor-hours (DLHS) required to produce that output appear below: Direct Total Labor- Direct Expected Production Hours Per Labor- Unit Hours Product H2 100 6.0 600 Product E0 100 5.0 500 Total direct labor-hours 1,100 The company's expected total manufacturing overhead is $266,468. If the company allocates all of its overhead based on direct labor-hours, the overhead assigned to each unit of Product H2 would be closest to: (Round your intermediate calculations to 2 decimal places.)
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