Laval produces lamps and home lighting fixtures. Its most popular product is a brushed aluminum...
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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 the assembly department. Information related to the 35,000 desk lamps produced annually follows.
Direct materials
$
260,000
Direct labor
Fabricating department (6,500 DLH $34 per DLH)
$
221,000
Assembly department (16,200 DLH $22 per DLH)
$
356,400
Machine hours
Fabricating department
14,100
MH
Assembly department
20,500
MH
Expected overhead cost and related data for the two production departments follow.
Fabricating
Assembly
Direct labor hours
120,000
DLH
345,000
DLH
Machine hours
170,000
MH
130,000
MH
Overhead cost
$
420,000
$
420,000
Required1. Determine the plantwide overhead rate for Laval using direct labor hours as a base. 2. Determine the total manufacturing cost per unit for the aluminum desk lamp using the plantwide overhead rate. 3. Compute departmental overhead rates based on machine hours in the fabricating department and direct labor hours in the assembly department. 4. Use departmental overhead rates from requirement 3 to determine the total manufacturing cost per unit for the aluminum desk lamps.
Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Determine the plantwide overhead rate for Laval using direct labor hours as a base. Estimated overhead costs Estimated direct labor hours Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Determine the total manufacturing cost per unit for the aluminum desk lamp using the plantwide overhead rate. Direct materials Direct Labor - Assembly Direct Labor - Fabricating Overhead Direct materials Total manufacturing costs Units produced Manufacturing cost per unit Required 1 Required 3 > Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 ------------- Compute departmental overhead rates based on machine hours in the fabricating department and direct labor hours in the assembly department. (Round your answers to 2 decimal places.) Departmental overhead rate Fabricating MH Assembly DLH Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 required 4 Use departmental overhead rates from requirement 3 to determine the total manufacturing cost per unit for the aluminum desk lamps. Direct labor Overhead TSG 0 per unit
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