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 32,000 desk lamps produced annually follows. Direct materials Direct labor $255, 000 Fabricating department (6,500 DLH x $25 per DLH) Assembly department (16,400 DLH x $22 per DLH) $162,500 $360, 800 Machine hours Fabricating department Assembly department 15,100 MH 20,850 MH Expected overhead cost and related data for the two production departments follow Direct labor hours Machine hours Overhead cost FabricatingAssembly 190,000 DLH 290,000 DLH 159,000 MH 128,000 MH $310,000 $430,000 Required 1. 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 thee assembly department. 4. Use departmental overhead rates from requirement 3 to determine the total manufacturing cost per unit for the aluminum desk lamps
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