Multiple Production Department Factory Overhead Rates The total factory overhead for Bardot Marine Company is budgeted for...

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Accounting

Multiple Production Department Factory Overhead Rates

The total factory overhead for Bardot Marine Company is budgetedfor the year at $411,750, divided into two departments:Fabrication, $276,750, and Assembly, $135,000. Bardot Marinemanufactures two types of boats: speedboats and bass boats. Thespeedboats require one direct labor hour in Fabrication and threedirect labor hours in Assembly. The bass boats require two directlabor hours in Fabrication and one direct labor hour in Assembly.Each product is budgeted for 4,500 units of production for theyear.

If required, round all per unit answers to the nearest cent.

a. Determine the total number of budgeteddirect labor hours for the year in each department.

Fabricationdirect labor hours
Assemblydirect labor hours

b. Determine the departmental factory overheadrates for both departments.

Fabrication$ per dlh
Assembly$ per dlh

c. Determine the factory overhead allocated perunit for each product using the department factory overheadallocation rates.

Speedboat:$ per unit
Bass boat:$ per unit

Answer & Explanation Solved by verified expert
3.7 Ratings (468 Votes)
Facts Given Fabrication Assembly Units Speed Boat 1Hr 3Hr 4500 Bass Boat 2Hr 1Hr 4500 a Total number of budgeted direct labor hours in Fabrication Department For Speed Boat 1Hr X 4500 4500Hrs For Bass Boat    See Answer
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