Business, 06.06.2020 13:57 DnakMeme6e7272727272
Elliott Engines Inc. produces three products—pistons, valves, and cams—for the heavy equipment industry. Elliott Engines has a very simple production process and product line and uses a single plantwide factory overhead rate to allocate overhead to the three products. The factory overhead rate is based on direct labor hours. Information about the three products for 20Y2 is as follows: Budgeted Volume (Units) Direct Labor Hours Per Unit Price Per Unit Direct Materials Per UnitPistons 5000 0.50 $45 $8 Valves 12,500 0.30 17 3Cams 1,500 0.20 60 40 The estimated direct labor rate is s30 per direct labor hour Beginning and ending inventories are negligible and are, thus, assumed to be zero. The budgeted factory overhead for Elliott Engines is $163,750 If required, round all per unit answers to the nearest cent a. Determine the plantwide factory overhead rate. per dih b. Determine the factory overhead and direct labor cost per unit for each product.
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Elliott Engines Inc. produces three products—pistons, valves, and cams—for the heavy equipment indus...
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