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1. Compute plantwide overhead rates
Renfro Manufacturing identified the following data in its two production departments.
Assembly
Finishing
Manufacturing overhead costs....
Direct labor hours worked...........
Machine hours used...................
$600,000 12,000 DLH 6,000 M H
$1,200,000 20,000 DLH 16.000 MH
1. What is the company's single plantwide overhead rate based on direct labor hours?
2. What is the company's single plantwide overhead rate based on machine hours?
3. What are the company's departmental overhead rates if the assembly department assigns overhead based on direct labor hours and the finishing department assigns overhead based on machine hours?
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