Exercise 7.20 (Page 374 in textbook; S eBook Direct Method and Overhead Rates Printem Jasmine Company manufactures both pesticide and liquid fertilizer, with each product manufactured in separate departments. Three support departments support the production departments: Power, General Factory and Purchasing. Budgeted data on the five departments are as follows: Support Departments Producing Departments General Liquid Power Factory Purchasing Pesticide Fertilizer Overhead $90,000 $314,000 $167,000 $78,900 $107,800 Square feet 1,500 1,500 4,200 4,800 Machine hours 1,403 1.345 Purchase orders 201 40 7 24,000 120 8,000 60 The company does not break overhead into fixed and variable components. The bases for allocation are power-machine hours; general factory-square feet; and purchasing-putha ters Required: 1. Allocate the overhead costs to the producing departments using the direct method. If required, round your allocation ratios to four decimal places and round allocated costs to t rounded values for the subsequent calculations. dular and use the Allocation ratios: Square feet Pesticide 0.3500 X Liquid Fertilizer 0.4000 X Machine hours