Answer:
Instructions are listed below
Explanation:
Giving the following information:
Channing uses a two-stage cost allocation system, It uses direct-material costs to allocate direct-materials related overhead and direct labor costs to allocate direct-labor related overhead costs.
A1
Direct material 75,000
Direct labor 58,000
B2
Direct material 150,000
Direct labor 137,750
Overhead:
Direct-material related 54,000
Direct-labor related 50,895
A) Estimated manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base
Estimated manufacturing overhead rate= 225,000/54000= 4.17 per direct material
B) Estimated manufacturing overhead rate= 195,750/50895= 3.85 per direct labor
C) Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base
Allocated MOH (A1)= 4.17*75000 + 3.85*1377550= 843,087.5
D) Allocated MOH (B2)= 4.17*54000 + 3.85*50895= 421,125.75