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Determine the factory overhead allocated per unit

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Question - Sassafrass, Inc makes boats - 2 types, Big and Little (Imaginative, right?) Sassafrass has 2 departments: Fabrication has an Overhead allocation of $420,000 and Assembly is allocated $180,000 of Overhead. Both Departments are budgeted for 250 units of production.

 

Fabrication

Assembly

Big Boat (direct labor hrs)

8 dlh

4 dlh

Little Boat

4 dlh

8 dlh

Fabrication Department overhead rate = $140 per dlh

Assembly Department overhead rate = $60 per dlh

Required - Determine the factory overhead allocated per unit for Big Boats and Little Boats, respectively.

Reference no: EM133157348

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