Sequential Method

Eilers Company has two producing departments and two support departments. The following budgeted data pertain to these four departments:

Support Departments Producing Departments

General Factory Receiving Assembly Finishing

Direct overhead $$500,000$ $$170,000$ $$45,000$ $$75,000$

Square footage $2,7005,4005,400$

Number of receiving orders $3001,6801,020$

Direct labor hours $25,00040,000$

The support departments are ranked in order of highest cost to lowest cost.

Required:

$1.$ Allocate the costs of the support departments using the sequential method. $($Use the rounded values for subsequent calculations. Round allocation ratios to four significant digits. Round allocated costs to the nearest dollar. If an amount is zero, enter $"0".)$

Allocation ratios:

General Factory Receiving Assembly Finishing

Square footage fill in the blank $1$ fill in the blank $2$ fill in the blank $3$ fill in the blank $4$

Number of receiving orders fill in the blank $5$ fill in the blank $6$ fill in the blank $7$ fill in the blank $8$

Allocations:

General Factory Receiving Assembly Finishing

Direct overhead cost $fill in the blank $9$ $fill in the blank $10$ $fill in the blank $11$ $fill in the blank $12$

Allocate:

General Factory fill in the blank $13$ fill in the blank $14$ fill in the blank $15$ fill in the blank $16$

Receiving fill in the blank $17$ fill in the blank $18$ fill in the blank $19$ fill in the blank $20$

Total $fill in the blank $21$ $fill in the blank $22$ $fill in the blank $23$ $fill in the blank $24$

$2.$ Using direct labor hours, compute departmental overhead rates. $($Round to the nearest cent.$)$

Overhead Rate

Assembly fill in the blank $25$ per direct labor hour

Finishing fill in the blank $26$ per direct labor hour

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