Dawson Company manufactures small table lamps and desk lamps. The following shows the activities per product and the total overhead information:   Units Setups Inspections Assembly (dlh) Small table lamps 3,400   3,900   8,250   44,800     Desk lamps 8,500   7,800   13,750   44,800     Activity Total Activity-Base Usage Budgeted Activity Cost Setups 11,700                 $112,320             Inspections 22,000                 147,400             Assembly (dlh) 78,400                 250,880             The total factory overhead to be allocated to desk lamps is a.$155,183 b.$310,365 c.$372,438 d.$558,657

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Overheads

In cost accounting, overhead refers to those expenses which occur during the operating of a business. Overhead includes the fixed, variable, or semi-variable which is not directly involved with a company product or service. It is very important to analyze overhead expense as it helps the company in determining how much a company must charge for its products and services so that they can generate profit.  Overhead expenses depend upon the nature of the business operations.