Questions:

1. Using a plantwide allocation system with machine hours as the cost driver, what was the allocation to Product 1 [round overhead rates to the nearest cent]?

2. Using a departmental allocation system with machine hours as the cost driver in Department X and direct labor hours as the cost driver in Department Y, what was the allocation to Product 1 [round overhead rates to the nearest cent]?

X Company has two production departments, X and Y. Listed below are budgeted information for the two departments, and actual information for one of its products, Product 1: Department X AlI Products Product 1 Overhead Direct labor Direct labor hours Machine hours Units produced $6,200,000 $11,565 $750,000 50,000 110,000 60,000 1,080 680 Department Y Overhead Direct labor Direct labor hours Machine hours Units produced $2,000,000 $900,000 60,000 120,000 33,000 $2,145 143 830 680