Magnificent Sdn Bhd is a manufacturing company producing slime. It has two productiondepartments; Mixing and Packing and two service departments; Store and Maintenance.Mixing department is more machine oriented and Packing is more labour oriented.The following information relates to the operation on the month of May 2020:MixingRM189,500PackingRM90.500Actual total production overheadsBudgeted total production overheads RM178,500Actual machine hoursRM94,5005,0501,010Budgeted machine hours5,1001,100Actual direct labour hours1,3803,460Budgeted direct labour hours1,4003,500 5)Determine the over or under absorption of overhead for Mixing department. Show yourdetailed calculations for the answer.RM24,000 (Under)RM13,870 (Under)RM11,842 (Under)RM12.750 (Under)ABCD

Manufacturing overhead means the expense incurred in factory which is not directly linked with…

5) Determine the over or under absorption of overhead for Mixing department. Show your detailed calculations for the answer. RM24,000 (Under) RM13,870 (Under) RM11,842 (Under) RM12.750 (Under) ABCD C. D.

5) Determine the over or under absorption of overhead for Mixing department. Show your detailed calculations for the answer. RM24,000 (Under) RM13,870 (Under) RM11,842 (Under) RM12.750 (Under) ABCD C. D.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Q: Prepare journal entries for the following: a) Requisitioned into production $50,000 direct material…

A: The overhead is applied to the production on the basis of pre-determined overhead rate. The overhead…

Q: TB MC Qu. 5-124 (Algo) The controller of Hendershot Corporation estimates... The controller of…

A: Overhead costs are form of indirect costs and expenses being incurred in business. These costs can…

Q: enata Company has four departments: Materials, Personnel, Manufacturing, and Packaging. Information…

A: The indirect costs are the costs that are not related directly to the production process. The…

Q: ! Required information Sunrise Accounting provides basic tax services and "rent-a-controller"…

A: The objective of the question is to calculate the overhead costs assigned to the Controller Services…

Q: Question#8: calculated the direct costs for your bid estimate of at $550,000, your project overhead…

A: The question asked to compute the direct cost to our total bid. Direct cost: Direct cost refers to…

Q: Use the following information to compute each department's contribution to overhead. Which…

A: The overhead refers to the indirect cost incurred. It is referred to as indirect cost as its cost…

Q: E1-15 (Algo) Calculating Missing Amounts [LO 1-4] For each of the following independent cases (A to…

A: 1. Prime cost is a combination of direct material and direct labor2. Conversion cost is combination…

Q: 1. Ascertain the prime cost from the following : Rs. Direct wages 50,000 5,000 Chargeable expenses…

A: Direct material=Opening raw material+Purchases-Returns-Closing stock=Rs 10,000+Rs 60,000-Rs 1,500-Rs…

Q: A company had beginning work-in-process of $1,000,000 for direct material and $2,000,000 for…

A: Cost per unit is the amount of cost incurred by the entity on the making of each unit of product. It…

Q: The profit to be attributed to the contract is

A: The contract costs are a part of job costing.Contract account is prepared for each specific…

Q: Required: 1. Compute a departmental overhead rate for the Molding department based on machine hours…

A: Departmental overhead rate is used to allocate the departmental overheads to the product(s).This can…

Q: The following overhead data are for a department in a large company. Activity level (in units)…

A: Variable costs are those costs which changes along with change in activity level. Fixed costs do not…

Q: 1

A: Given : The Initial cost of the machine is $300,000. The New machine depreciates in 5 years MACRS…

Q: The following data is given for Mayfield Co.:…

A: The planned overhead is allocated to actual production on the basis of predetermined overhead rate.…

Q: University Printers has two service departments (Maintenance and Personnel) and two operating…

A: The service department costs can be allocated to various operating departments using various methods…

Q: Complete (assume $50,000 of overhead to be distributed): Note: Round your "Ratio" answers to the…

A: Activity based costing (ABC) is the modern method for the classification of various expenses to…

Q: Goggles Company has the following information for the year 2019: Total manufacturing costs…

A: Hi student Since there are multiple subparts, we will answer only first three subparts. Prime cost…

Q: Required information Sunrise Accounting provides basic tax services and "rent-a-controller"…

A: The overhead is a cost that is allocated to the product or service at the time of production.…

Q: 4. Manufacturlng coste. The payroll records of the E. W. Grant Company shiow payments for labor of…

A: The total production cost comprises of direct materials cost, direct labor cost and factory overhead…

Q: The following partially completed T-accounts summarize transactions for Faaberg Corporation during…

A: Manufacturing Overhead :— It is the total indirect manufacturing cost incurred during the period.…

Q: Complete (assume $50,000 of overhead to be distributed): (Round your "Ratio"answers to the nearest…

A: Overhead refers to the costs or expenses involved in the production of goods but such costs cannot…

Q: S Ltd absorbs overheads based on units produced. In one period 110,000 units were produced and the…

A: Absorption of overheads may be based on either on the actual rate or predetermined rate.Under the…

Q: am. 122.

A: Step 1: Divide the total amount of each cost pool by the corresponding cost driver to get its…

Q: Mammoth Mats has two service departments (maintenance and administration) and two operating…

A: Cost allocation is the technique of allocating costs of service departments to the production…

Q: Calculate the direct and total direct costs of labor for a project team member using the following…

A: The direct cost of labor is a subset of the total direct cost, specifically referring to the…

Concept explainers

Overheads

In cost accounting, overhead refers to those expenses which occur during the operating of a business. Overhead includes the fixed, variable, or semi-variable which is not directly involved with a company product or service. It is very important to analyze overhead expense as it helps the company in determining how much a company must charge for its products and services so that they can generate profit. Overhead expenses depend upon the nature of the business operations.

Question

Magnificent Sdn Bhd is a manufacturing company producing slime. It has two production
departments; Mixing and Packing and two service departments; Store and Maintenance.
Mixing department is more machine oriented and Packing is more labour oriented.
The following information relates to the operation on the month of May 2020:
Mixing
RM189,500
Packing
RM90.500
Actual total production overheads
Budgeted total production overheads RM178,500
Actual machine hours
RM94,500
5,050
1,010
Budgeted machine hours
5,100
1,100
Actual direct labour hours
1,380
3,460
Budgeted direct labour hours
1,400
3,500

5)
Determine the over or under absorption of overhead for Mixing department. Show your
detailed calculations for the answer.
RM24,000 (Under)
RM13,870 (Under)
RM11,842 (Under)
RM12.750 (Under)
ABCD

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

Monte Services, Inc. is trying to establish the standard labor cost of a typical brake repair. The following data have been collected from time and motion studies conducted over the past month. Actual time spent on the brake repairs Hourly wage rate Payroll taxes Setup and downtime Cleanup and rest periods Fringe benefits (a) Your answer is correct. (b) eTextbook and Media 5 hours Your answer is correct. $12 20% of wage rate Determine the standard direct labor hours per brake repairs. (Round answer to 2 decimal places, e.g. 1.25.) Standard direct labor hourly rate $ 11% of actual labor time Standard direct labor hours per brake repair 34% of actual labor time 25% of wage rate 7.25 Determine the standard direct labor hourly rate. (Round answer to 2 decimal places, e.g. 1.25.) 17.40 hours Attempts: 1 of 2 used
P5-1A. Calculating Manufacturing Overhead Rates Glassman Company accumulated the following data for the current year. Milling Department manufacturing overhead... Finishing Department manufacturing overhead. Machine hours used a. Milling Department... Finishing Department. Labor hours used Milling Department.. Finishing Department. $484,000 $260,000 10,000 hours 2,000 hours 1,000 hours 1,000 hours Required Calculate the company-wide manufacturing overhead rate using machine hours as the allocation base.
2.
lator The T-account showing the manufacturing overhead activity for Davis Corp. for 2024 is as follows: K Manufacturing Overhead 203,000 200,000 Read the requirements. Requirement 1. What is the actual manufacturing overhead? Actual manufacturing overhead: Ask my instructor Clear all Check
Complete the following (assume $93,500 of overhead to be distributed): (Round the "Ratio" to 2 decimal places.) Amount of Overhead Square Feet Ratio Allocated Department A Department B 15,040 31,960
3 ences Complete the following (assume $90,000 of overhead to be distributed): Note: Round the "Ratio" to 2 decimal places. Mc Graw Hill Department A Department B Square Feet -- 10,000 30,000 Ratio < Prev Amount of Overhead Allocated 9 of 10 ⠀ JUL 30 W Next E 4 R *** 6 A 8
Lamont Company produced 80,000 machine parts for diesel engines. There were no beginning or ending work-in-process inventories in any department. Lamont incurred the following costs for May: Direct materials Direct labor Applied overhead Molding Department $12,000 10,000 17,000 Grinding Department $5,300 8,800 14,000 Finishing Department $8,000 12,000 12,000