Question

Superior Products Manufacturing identified the following data in its two production departments:


Assembly Finishing
Manufacturing overhead costs $225,000 $420,000
Direct labor hours worked 6,600 DLH 10,000 DLH
Machine hours used 2,400 MH 5,200 MH

Compute departmental overhead rates assuming the Assembly rate is based on machine hours and the Finishing rate is based on direct labor hours.

Answer

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