Question: Angle Max Industries produces a product which goes through two operations, Assembly and Finishing, before it is ready to be shipped. Next years expected costs
Angle Max Industries produces a product which goes through two operations, Assembly and Finishing, before it is ready to be shipped. Next years expected costs and activities are shown below.
| Assembly | Finishing | |||||
| Direct labor hours | 120,000 | DLH | 142,000 | DLH | ||
| Machine hours | 320,000 | MH | 32,000 | MH | ||
| Overhead costs | $ | 320,000 | $ | 454,400 | ||
Assume that the Assembly Department allocates overhead using a plantwide overhead rate based on machine hours. How much total overhead will be assigned to a product that requires 1 direct labor hour and 2.70 machine hours in the Assembly Department, and 3.50 direct labor hours and 0.8 machine hours in the Finishing Department?
Step by Step Solution
There are 3 Steps involved in it
1 Expert Approved Answer
Step: 1 Unlock
Question Has Been Solved by an Expert!
Get step-by-step solutions from verified subject matter experts
Step: 2 Unlock
Step: 3 Unlock
