Bike-O-Rama produces two bike models: Voltage and EasyRider. Departmental overhead data follow. Department Fabricating Assembly Required:...

Transcribed Image Text:

Bike-O-Rama produces two bike models: Voltage and EasyRider. Departmental overhead data follow. Department Fabricating Assembly Required: Budgeted Cost $ 135,800 144,000 Allocation Base Machine hours (MH) Budgeted Usage 9,700 MH Direct labor hours (DLH) 3,200 DLH 1. Compute departmental overhead rates using (a) machine hours to allocate budgeted Fabricating costs and (b) direct labor hours to allocate budgeted Assembly costs. 2. The company reports the following actual production usage data. Compute the overhead cost per unit for each model. Machine hours per unit Direct labor hours per unit Voltage 2.0 MH 1.6 DLH EasyRider 3.0 MH 0.6 DLH 3. The company reports additional information below. For each model, compute the product cost per unit Per Unit Voltage EasyRider Selling Price $ 277 175 Direct Materials $ 107 97 Direct Labor $ 43 19 4. For each model, compute gross profit per unit (selling price per unit minus product cost per unit). Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Compute departmental overhead rates using (a) machine hours to allocate budgeted Fabricating costs and (b) direct labor hours to allocate budgeted Assembly costs. Fabricating departmental overhead rate Budgeted overhead costs S Budgeted direct labor hours Assembly departmental overhead rate Budgeted overhead costs Budgeted machine hours S 135,800 S 3,200 42.44 per direct labor hour 144,000 S 14.85 per machine hour 9,700 Required t Required 2 > B Bike-O-Rama produces two bike models: Voltage and EasyRider. Departmental overhead data follow. Department Fabricating Assembly Required: Budgeted Cost $ 135,800 144,000 Allocation Base Machine hours (MH) Budgeted Usage 9,700 MH Direct labor hours (DLH) 3,200 DLH 1. Compute departmental overhead rates using (a) machine hours to allocate budgeted Fabricating costs and (b) direct labor hours to allocate budgeted Assembly costs. 2. The company reports the following actual production usage data. Compute the overhead cost per unit for each model. Machine hours per unit Direct labor hours per unit Voltage 2.0 MH 1.6 DLH EasyRider 3.0 MH 0.6 DLH 3. The company reports additional information below. For each model, compute the product cost per unit Per Unit Voltage EasyRider Selling Price $ 277 175 Direct Materials $ 107 97 Direct Labor $ 43 19 4. For each model, compute gross profit per unit (selling price per unit minus product cost per unit). Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Compute departmental overhead rates using (a) machine hours to allocate budgeted Fabricating costs and (b) direct labor hours to allocate budgeted Assembly costs. Fabricating departmental overhead rate Budgeted overhead costs S Budgeted direct labor hours Assembly departmental overhead rate Budgeted overhead costs Budgeted machine hours S 135,800 S 3,200 42.44 per direct labor hour 144,000 S 14.85 per machine hour 9,700 Required t Required 2 > B

Answer rating: 100% (QA)

1 Compute departmental overhead rates a Fabricating Department Overhead Rate Budgeted Overhead Costs ... View the full answer