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Convert Departmental Data to Plantwide Data, Plantwide Overhead Rate, Apply Overhead to Production
At the beginning of the year, Hallett Company estimated the following:
| | Cutting Department | Sewing Department | Total |
| Overhead | $240,000 | | $350,000 | | $590,000 |
| Direct labor hours | 31,200 | | 100,000 | | 131,200 |
| Machine hours | 150,000 | | | | 150,000 |
Assume that Hallett has decided to use a plantwide overhead rate based on direct labor hours. Actual data for the month of June are as follows:
| | Cutting Department | Sewing Department | Total |
| Overhead | $20,610 | | $35,750 | | $56,360 |
| Direct labor hours | 2,800 | | 8,600 | | 11,400 |
| Machine hours | 13,640 | | | | 13,640 |
Required:
1. Calculate the predetermined plantwide overhead rate. Round your answer to the nearest cent. $ per direct labor hour
2. Calculate the overhead applied to production for the month of June. $
3. Calculate the overhead variance for the month of June. $
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