The Delph Company produces two products, Blinks and Dinks. They are manufactured

Question

The Delph Company produces two products, Blinks and Dinks. They are manufactured in two departments, Fabrication and assembly. Data for the products and departments are listed below. Product Number of units Labor hrs per unit Machine hours per unit Blinks 1,000 4 5 Dinks 2,000 2 8 All of the Machine hours take place in the Fabrication department, which has an estimated overhead of $84,000. All of the labor hours take place in the Assembly department, which has an estimated total overhead of $72,000. The Delph Company uses a departmental overhead rates. The fabrication department uses machine hours for an allocation base, and the assembly department uses labor hours. What is the overhead cost per unit for Blinks? a)$56 B)$44 c)$64 d)$60 PLEASE SHOW WORK

Explanation / Answer

a)$56 Dear Student Thank you for using Chegg Please find below the answer and please give thumbs up   Statementshowing Computations Paticulars Fabrication Assembly Estimated Overhead              84,000.00              72,000.00 Machine hours = 1000*5 + 2000*8              21,000.00 Labour hours = 1000*4 + 2000*2                8,000.00 Overhead per hour                         4.00                        9.00 Amount Overhead cost per unit of blink Fabrication deptt = 5*4                      20.00 Assemble deptt = 4*9                      36.00 Overhead cost per unit of blink                      56.00

Related Questions

Navigate

• Browse (All)
• Browse T
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.