
FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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Transcribed Image Text: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.
Number of Direct Labor Hours Machine Hours
Product
Units
Per Unit
Per Unit
Blinks
1,008
2
8.
Dinks
1,827
9
All of the machine hours take place in the Fabrication department, which has an estimated overhead of $96,100. All of the labor hours take place in the
Assembly department, which has an estimated total overhead of $90,700.
Ramapo Company uses a single plantwide overhead rate to apply all factory overhead costs based on direct labor hours. The factory overhead allocated
per unit of Dinks is
Oa. $70.67
Ob. $88.34
Oc. $181.41
Od. $35.94
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