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6. 357 points value: Laval produces lamps and home lighting fixtures. Its most popular product...

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6. 357 points value: Laval produces lamps and home lighting fixtures. Its most popular product is a brushed aluminum desk lamp. This lamp is made from components shaped in the fabricating department and assembled in its assembly department. Information related to the 35,000 desk lamps produced annually follow. Direct materials Direct labor $280,000 Fabricating department (7,000 DLH x $20 per DLH) Assembly department (16,000 DLH x $29 per DLH) 140,000 $ 464,000 Machine hours Fabricating department Assembly department 15,040 MH 21,000 MH Expected overhead cost and related data for the two production departments follow. Direct labor hours Machine hours Overhead cost Fabricating 75,000 DLH 80,000 MH Assembly 125,000 DLH 62,500 MH $300,000 $ 200,000 Required 1. Determine the plantwide overhead rate for Laval using direct labor hours as a base Answer is complete and correct. overhead costs500,000s2.50 per di direct labor hour Estimated direct labor hours 200,000

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