Roddickton Manufacturing Co. gathered information to calculate predetermined overhead rates for its two departments, Assembly and Finishing, which produce energy saving products. The company needs to calculate (a) a plantwide rate using direct labor hours, (b) a plantwide rate using machine hours, and (c) departmental rates using machine hours for Assembly and direct labor hours for Finishing in order to assign overhead costs to products requiring a certain number of machine and direct labor hours in each department.

1. Plantwide vs. Departmental OH Rates Roddickton Manufacturing Co. has gathered the following
information to develop predetermined OH rates for the year. The company produces a wide
variety of energysaving products that are processed through two departments, Assembly
(automated) and Finishing (labor intensive). Note: For the following questions, round your
answers to two decimal places. a. Compute a plantwide predetermined OH rate using direct labor
hours. Note: Round your answers to two decimal places. b. Compute a plantwide predetermined
OH rate using machine hours. Note: Round your answers to two decimal places. c. Compute
departmental predetermined OH rates using machine hours for Assembly and direct labor hours
for Finishing. b. Compute a plantwide predetermined OH rate using machine hours. Note: Round
your answers to two decimal places. c. Compute departmental predetermined OH rates using
machine hours for Assembly and direct labor hours for Finishing. a. vetermine the amount of
overhead that would be assigned to a product that required five machine hours in Assembly and
one direct labor hour in Finishing using the answers developed in (a), (b), and (c).