Financial and Managerial Accounting: PR26-2A The management of Orange County Chrome Company





Financial
and Managerial Accounting





PR26-2A
Multiple production department factory overhead rate




The
management of Orange County Chrome Company, described in Problem 26-1A, now
plans to use the multiple production department factory overhead rate
method.  The total factory overhead
associate with each department is as follows:


Stamping Department
                115,200




Plating Department
                105,600




Total
 $             220,800










Instructions:





1. Determine
the multiple production department factory overhead rates, using direct labor
hours for the Stamping Department and machine hours for the Plating
Department.


2. Determine
the product factory overhead costs, using the multiple production department
rates in (1).
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