None 21) Rivera Company manufactured two products, A and B, during April. For purposes of product costing, an overhead rate of $2.00 per direct - labor hour was used, based on budgeted annual factory overhead of $500,000and 250,000 budgeted annual direct - labor hours, as follows: Budgeted Overhead Budgeted Hours Department 1 $ 300,000 200,000 Department 2 200,000 50,000 S 500,000 250,000 The number of labor hours required tomanufacture each of these products was: Product A Product B In Department 131 In Department 2 13 Total 44 During April, production units for products A and B were 1,000 and 3,000, respectively. Required: (1) Using aplantwide overhead rate, what are total overhead costs assigned to products A and B, respectively? (2) Using departmental overhead rates, what are total overhead costs assigned to products A and B, respectively? (3) Assumethat materials and labor costs per unit of Product B are $10 and that the selling price is established by adding 40% of total costs to cover profit and selling and administrative expenses. What difference in selling price wouldresult from the use of departmental overhead rates?

Name: None 21) Rivera Company manufactured two products, A and B, during Apr
Uploaded: 2024-03-20T06:32:49.000Z
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Description: None 21) Rivera Company manufactured two products, A and B, during April. For purposes of product costing, an overhead rate of $2.00 per direct - labor hour was used, based on budgeted annual factory overhead of $500,000and 250,000 budgeted annual di