Altex Inc. manufactures two products: car wheels and truck wheels. To determine the amount of overhead to assign to each product line, the controller, Robert Hermann, has developed the following information. Car Truck
Estimated wheels produced 40,000 10,000
Direct labor hours per wheel 1 3
Total estimated overhead costs for the two product lines are $770,000.
Exercise 17-4 Altex Inc. manufactures two products
Calculate overhead rate. (Round answer to 2 decimal places, e. g. $12.25.)
Overhead rate
$
per direct labor hour
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Exercise 17-4 Altex Inc. manufactures two products
Compute the overhead cost assigned to the car wheels and truck wheels, assuming that direct labor hours is used to allocate overhead costs.
Car wheels
$
Truck wheels
$

Results are below.

Explanation:

First, we need to calculate the predetermined overhead rate:

Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

Total direct labor hours= (40,000*1) + (10,000*3)= 70,000

Predetermined manufacturing overhead rate= 770,000/70,000

Predetermined manufacturing overhead rate= $11 per direct labor hour

Now, we can allocate overhead:

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base

Car= 11*40,000

Car= $440,000

Truck= 11*30,000

Truck= $330,000

answersecondary succession;

answer: marginal utility of the fourth brownie is 0.

explanation: marginal utility is the addtional utility gained from the consumption of one more unit of a good. it is given by,

so, marginal utility at the 4th unit will be given by

since, the values are not given here, you can simply find marginal utility at fourth unit by subtracting total utility at 3rd unit from total utility at 4th unit.