Business, 15.04.2020 03:36 kittycatwaffels

Aunt Dorothy Snacks makes potato chips, corn chips, and cheese puffs using three different production lines within the same manufacturing plant. Currently, Aunt Dorothy uses a single plantwide overhead rate to allocate its $ 3,796,200 of annual manufacturing overhead. Of this amount, $2,332,000 is associated with the potato chip line, $1,374,000 is associated with the corn chip line, and $629,000 is associated with the cheese puff line. Aunt Dorothy's plant is currently running a total of 17,000 machine hours: 10,600 in the potato chip line, 3,000 in the corn chip line, and 3,400 in the cheese puff line. Aunt Dorothy considers machine hours to be the cost driver of manufacturing overhead costs.

What is Aunt Dorothy's plantwide overhead rate?

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