Splitsville Company has two departments. Factory overhead costs are applied based on direct labor cost in Department A and machine hours in Department B. The
following information is available:
Budgeted Items Dept. A Dept. B
Direct labor cost $180000 $165000
Machine hours 51000 40000
Factory overhead cost $225000 $180000
Actual data for Job #10 are as follows:
Actual Items Dept. A Dept. B
Direct materials requisitioned $10000 $16000
Direct labor cost $11000 $14000
Machine hours 5000 3000
Required:
A) Compute the budgeted factory overhead rate for Department A.
B) Compute the budgeted factory overhead rate for Department B.
C) What is the total overhead cost for Job #10?
D) If Job #10 consists of 50 units of product what is the unit cost of this job?