! Required information Use the following information for the Exercises below. (Algo) [The following information applies to the questions displayed below.] Textra produces parts for a machine manufacturer. Parts go through two departments, Molding and Trimming. The company budgets overhead cost of $246,250 in the Molding department and $206,250 in the Trimming department. The company budgets 16,000 machine hours (MH) in Molding and 25,000 direct labor hours (DLH) in Trimming. Actual production information follows. Number of Molding Department Units Hours per Unit Part Z Part X 3,000 2.0 MH per unit 4,000 2.5 MH per unit Totals Total Hours 6,000 MH 10,000 MH 16,000 MH Trimming Department Hours per Unit 3 DLH per unit Total Hours 4 DLH per unit 9,000 DLH 16,000 DLH 25,000 DLH Exercise 17-8 (Algo) Departmental overhead rates LO P2 Required: 1. Compute a departmental overhead rate for the Molding department based on machine hours and a departmental overhead rate for the Trimming department based on direct labor hours. 2. Determine the overhead cost per unit for each part using the departmental rates. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Determine the overhead cost per unit for each part using the departmental rates. (Round "Overhead rate" and "Hours per unit" to 2 decimal places.) Part Z Molding Trimming Total Departmental Overhead Rate Hours per Unit Overhead cost per unit Part X Departmental Overhead Rate Hours per Unit Overhead cost per unit Molding Trimming Total < Required 1 Required 2 >
! Required information Use the following information for the Exercises below. (Algo) [The following information applies to the questions displayed below.] Textra produces parts for a machine manufacturer. Parts go through two departments, Molding and Trimming. The company budgets overhead cost of $246,250 in the Molding department and $206,250 in the Trimming department. The company budgets 16,000 machine hours (MH) in Molding and 25,000 direct labor hours (DLH) in Trimming. Actual production information follows. Number of Molding Department Units Hours per Unit Part Z Part X 3,000 2.0 MH per unit 4,000 2.5 MH per unit Totals Total Hours 6,000 MH 10,000 MH 16,000 MH Trimming Department Hours per Unit 3 DLH per unit Total Hours 4 DLH per unit 9,000 DLH 16,000 DLH 25,000 DLH Exercise 17-8 (Algo) Departmental overhead rates LO P2 Required: 1. Compute a departmental overhead rate for the Molding department based on machine hours and a departmental overhead rate for the Trimming department based on direct labor hours. 2. Determine the overhead cost per unit for each part using the departmental rates. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Determine the overhead cost per unit for each part using the departmental rates. (Round "Overhead rate" and "Hours per unit" to 2 decimal places.) Part Z Molding Trimming Total Departmental Overhead Rate Hours per Unit Overhead cost per unit Part X Departmental Overhead Rate Hours per Unit Overhead cost per unit Molding Trimming Total < Required 1 Required 2 >
Managerial Accounting: The Cornerstone of Business Decision-Making
7th Edition
ISBN:9781337115773
Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger
Chapter8: Tactical Decision-making And Relevant Analysis
Section: Chapter Questions
Problem 48E
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Question
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Required information
Use the following information for the Exercises below. (Algo)
[The following information applies to the questions displayed below.]
Textra produces parts for a machine manufacturer. Parts go through two departments, Molding and Trimming. The
company budgets overhead cost of $246,250 in the Molding department and $206,250 in the Trimming department. The
company budgets 16,000 machine hours (MH) in Molding and 25,000 direct labor hours (DLH) in Trimming. Actual
production information follows.
Number of
Molding Department
Units
Hours per Unit
Part Z
Part X
3,000
2.0 MH per unit
4,000
2.5 MH per unit
Totals
Total Hours
6,000 MH
10,000 MH
16,000 MH
Trimming Department
Hours per Unit
3 DLH per unit
Total Hours
4 DLH per unit
9,000 DLH
16,000 DLH
25,000 DLH
Exercise 17-8 (Algo) Departmental overhead rates LO P2
Required:
1. Compute a departmental overhead rate for the Molding department based on machine hours and a departmental overhead rate for
the Trimming department based on direct labor hours.
2. Determine the overhead cost per unit for each part using the departmental rates.
Complete this question by entering your answers in the tabs below.
Required 1 Required 2
Determine the overhead cost per unit for each part using the departmental rates. (Round "Overhead rate" and "Hours per
unit" to 2 decimal places.)
Part Z
Molding
Trimming
Total
Departmental Overhead Rate
Hours per Unit
Overhead cost per unit
Part X
Departmental Overhead Rate
Hours per Unit
Overhead cost per unit
Molding
Trimming
Total
< Required 1
Required 2 >](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fc608eedc-3b9d-4f55-ab85-51db1ee66e82%2F4ec36207-dfe0-4f1b-93d0-23d6fe8282b2%2Fgqjhn9i_processed.png&w=3840&q=75)
Transcribed Image Text:!
Required information
Use the following information for the Exercises below. (Algo)
[The following information applies to the questions displayed below.]
Textra produces parts for a machine manufacturer. Parts go through two departments, Molding and Trimming. The
company budgets overhead cost of $246,250 in the Molding department and $206,250 in the Trimming department. The
company budgets 16,000 machine hours (MH) in Molding and 25,000 direct labor hours (DLH) in Trimming. Actual
production information follows.
Number of
Molding Department
Units
Hours per Unit
Part Z
Part X
3,000
2.0 MH per unit
4,000
2.5 MH per unit
Totals
Total Hours
6,000 MH
10,000 MH
16,000 MH
Trimming Department
Hours per Unit
3 DLH per unit
Total Hours
4 DLH per unit
9,000 DLH
16,000 DLH
25,000 DLH
Exercise 17-8 (Algo) Departmental overhead rates LO P2
Required:
1. Compute a departmental overhead rate for the Molding department based on machine hours and a departmental overhead rate for
the Trimming department based on direct labor hours.
2. Determine the overhead cost per unit for each part using the departmental rates.
Complete this question by entering your answers in the tabs below.
Required 1 Required 2
Determine the overhead cost per unit for each part using the departmental rates. (Round "Overhead rate" and "Hours per
unit" to 2 decimal places.)
Part Z
Molding
Trimming
Total
Departmental Overhead Rate
Hours per Unit
Overhead cost per unit
Part X
Departmental Overhead Rate
Hours per Unit
Overhead cost per unit
Molding
Trimming
Total
< Required 1
Required 2 >
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