Blue Ridge Marketing Inc. manufactures two products, A and B. Presently, the company uses a single plantwide factory overhead rate for allocating overhead to products. However, management is considering moving to a multiple department rate system for allocating overhead. The following table presents information about estimated overhead and direct labor hours.
-The factory overhead allocated per unit of Product A in the Finishing Department if Blue Ridge Marketing Inc. uses the multiple production department factory overhead rate method is
A) $99.20 per unit
B) $49.60 per unit
C) $64.00 per unit
D) $28.80 per unit
Correct Answer:
Verified
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