Huey Parker produces mathematical and financial calculators. Data related to the two products are presented below.

Both products pass through Department 1 and Department 2. The departments€™ combined manufacturing overhead costs are:
Total
Machining costs .......... $450,000
Setup costs ............144,000
Inspection costs ..........126,000
REQUIRED
1. Compute the manufacturing overhead cost for each product.
2. Compute the manufacturing cost for each product.

Transcribed Image Text:

Mathematical Annual production in units Direct materials costs Direct manufacturing labour costs Direct manufacturing labour-hours Machine hours Number of production runs Inspection hours 50,000 $180,000 60,000 2,500 25,000 50 1,000 Financial 100,000 $360,000 $120,000 5,000 50,000 50 500