Tarnish Industries produces miniature models of farm equipment These collectible

Question

Tarnish Industries produces miniature models of farm equipment These collectibles are in great demand. It takes two operations, molding and finishing, to complete the miniatures. Next year's expected activities ore shown in the folio-wing table: Tarnish Industries uses departmental overhead rates and is planning on a $2.50 per direct hour overhead rate for the finishing department. Compute the estimated manufacturing overhead cost for the finishing department given the information shown in the table. $32,800 $418,750 $420,000 $221250 $483.750

Explanation / Answer

OVERHEAD COST FOR FINISHING DEPARTMENT

= 167500 DLH * $2.50

= $418750

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