Question 4 Budgeted costs for Support Department Total fixed costs per year = $600,000 Variable...
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Question 4 Budgeted costs for Support Department Total fixed costs per year = $600,000 Variable costs = $100 per technician hour (TH) Budgeted usage hours in TH Production Dept A = 13,000 TH Production Dept B= 11,000 TH Actual usage hours in TH Production Dept A = 15,000 TH Production Dept = 9,500 TH Required: Assume that the company uses normal costing. Round all answers to the nearest dollar. Calculate: a. the single rate for support department cost allocation b. the total amount of overheads (OH) allocated to Production Dept B
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