What the factory overhead allocated per unit of Blinks

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Reference no: EM133054101

Question - Ramapo Company produces two products, Blinks and Dinks. They are manufactured in two departments, Fabrication and Assembly. Data for the products and departments are listed below.

Product

Number of Units

Direct Labor Hours Per Unit

Machine Hours Per Unit

Blinks

1,071

2

7

Dinks

2,193

3

7

All of the machine hours take place in the Fabrication department, which has an estimated overhead of $97,100. All of the labor hours take place in the Assembly department, which has an estimated total overhead of $79,100.

Ramapo Company uses a single plantwide overhead rate to apply all factory overhead costs based on direct labor hours. What the factory overhead allocated per unit of Blinks?

a. $60.61

b. $19.58

c. $40.40

d. $158.22

Reference no: EM133054101

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