51.The Roget Factory has determined that its budgeted factory overhead budget for the year is $15,500,000. Theyplan to produce 2,000,000 units. Budgeted direct labor hours are 1,050,000 and budgeted machine hours are750,000. Using the single plantwide factory overhead rate based on direct labor hours, calculate the factoryoverhead rate for the year.
a. $14.76b. $20.67c. $7.75d. $77.50
52.The Botosan Factory has determined that its budgeted factory overhead budget for the year is $13,500,000 andbudgeted direct labor hours are 10,000,000. If the actual direct labor hours for the period are 350,000, how muchoverhead would be allocated to the period?
a. $675,000
b. $470,630
c. $472,500
d. $236,250
Blackwelder Factory produces two similar products—small lamps and desk lamps. The total plant overhead budgetis $640,000 with 400,000 estimated direct labor hours. It is further estimated that small lamp production will require275,000 direct labor hours and desk lamp production will need 125,000 direct labor hours.
53.Using the single plantwide factory overhead rate with an allocation base of direct labor hours, how much factoryoverhead will Blackwelder Factory allocate to small lamp production if actual direct hours for the period is 285,000?
a. $275,000
b. $285,000
c. $440,000
d. $456,000
54.Using the single plantwide factory overhead rate with an allocation base of direct labor hours, how much factoryoverhead will Blackwelder Factory allocate to desk lamp production if actual direct hours for the period is 118,000?
a. $118,000
b. $200,000
c. $188,800
d. $125,000
Challenger Factory produces two similar products—regular widgets and deluxe widgets. The total plant overheadbudget is $675,000 with 300,000 estimated direct labor hours. It is further estimated that deluxe widget productionwill need 3 direct labor hours for each unit and regular widget production will require 2 direct labor hours for eachunit.
55.Using the single plantwide factory overhead rate with an allocation base of direct labor hours, how much factoryoverhead will Challenger Factory allocate to regular widget production if budgeted production for the period is75,000 units and actual production for the period is 72,000 units?
a. $168,750
b. $324,000
c. $162,000
d. $337,500
56.Using the single plantwide factory overhead rate with an allocation base of direct labor hours, how much factoryoverhead will Challenger Factory allocate to deluxe widget production if budgeted production for the period is50,000 units and actual production for the period is 58,000 units?
a. $391,500
b. $225,000
c. $261,000
d. $337,500
Blue Ridge Marketing Inc. manufactures two products, A and B. Presently, the company uses a single plantwidefactory overhead rate for allocating overhead to products. However, management is considering moving to amultiple department rate system for allocating overhead. The following table presents information about estimatedoverhead and direct labor hours.
|
Overhead
|
Direct Labor
Hours (dlh)
|
Product
|
A
|
B
|
Painting Dept.
|
$248,000
|
10,000 dlh
|
16 dlh
|
4 dlh
|
Finishing Dept.
|
72,000
|
10,000
|
4
|
16
|
Totals
|
$320,000
|
20,000 dlh
|
20 dlh
|
20 dlh
|
|
|
|
|
|
57.Determine the overhead rate in the Painting Department for each unit of Product B if Blue Ridge Marketing Inc.uses a multiple department rate system.
a.$49.60 per unit
b.$99.20 per unit
c.$28.80 per unit
d.$64.00 per unit
58.Determine the overhead rate in the Finishing Department for each unit of Product A if Blue Ridge Marketing Inc.uses a multiple department rate system.
a.$99.20 per unit
b.$49.60 per unit
c.$64.00 per unit
d.$28.80 per unit
59.Determine the overhead from both production departments allocated to each unit of Product A if Blue RidgeMarketing Inc. uses a multiple department rate system.
a.$396.80 per unit
b.$425.60 per unit
c.$320.00 per unit
d.$214.40 per unit
60.Determine the overhead from both production departments allocated to each unit of Product B if Blue RidgeMarketing Inc. uses a multiple department rate system.
a.$425.60 per unit
b.$115.20 per unit
c.$214.40 per unit
d.$320.00 per unit
The Kaumajet Factory produces two products—table lamps and desk lamps. It has two separate departments -Finishing and Production. The overhead budget for the Finishing Department is $550,000, using 500,000 direct laborhours. The overhead budget for the Production Department is $400,000 using 80,000 direct labor hours.