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T TTOuuttion Department Factory Overhead Rates Spotted Cow Dairy Company manufactures three products

T TTOuuttion Department Factory Overhead Rates Spotted Cow Dairy Company manufactures three products-whole milk, skim milk, a

 

plans to use the multiple production department factory The management of Spotted Cow Dairy Company now overhead rate method.

T TTOuuttion Department Factory Overhead Rates Spotted Cow Dairy Company manufactures three products-whole milk, skim milk, and cream-in two production departments, Blending and Packing. The factory overhead for Spotted Cow Dairy is $299,700. The three products consume both machine hours and direct labor hours in the two production departments as follows: Direct Labor Machine Hours Hours Blending Department Whole milk 260 650 Skim milk 245 710 Cream 215 260 720 1,620 Packing Department Whole milk 470 500 Skim milk 300 415 Cream 130 165 900 1,080 Total 1,620 2,700 The management of Spotted Cow Dairy Company now plans to use the multiple production department factory overhead rate method. The total factory overhead associated with each department is as foilows: plans to use the multiple production department factory The management of Spotted Cow Dairy Company now overhead rate method. The total factory overhead associated with each department is as follows: > $178,200 Blending Department 121,500 Packing Department $299,700 Total Required: 1. Determine the multiple production department factory overhead rates, using machine hours for the Blending Department and direct labor hours for the Packing Department. per machine hour Blending Department per direct labor hour Packing Department 2. Determine the product factory overhead costs, using the multiple production department rates in (1). Whole Milk Skim Milk Cream Blending Department factory overhead $ Packing Department factory overhead Total factory overhead

Apr 03 2020 Read more Less More

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