**Question 4.1:** Calculate the overhead rate based on the traditional overhead allocation method using direct labour hours as the base. **NOTE:** Enter only the number of dollars, do not enter the dollar, "$", symbol. Therefore if your answer is "$10", enter only "10".[Box for answer]---**Question 35**---**Question 4.2**Calculate the total overhead applied to order no. 159 using the traditional overhead rate calculated in question 4.1 above. **NOTE:** Enter only the number of dollars, do not enter the dollar, "$", symbol. Therefore if your answer is "$10", enter only "10".[Box for answer] Clear Solutions manufactures and installs standard and custom-designed shop windows. Last year, the company incurred $2,400,000 in overhead costs when a total of 30,000 direct labor hours were incurred. After implementing activity-based costing (ABC), the company's accountant identified the following related information:### Activity-Based Costing Table| Activity | Allocation Base | Proportion of Overhead Cost ||----------------------------|-------------------------------|-----------------------------|| Purchasing | Number of purchase orders | 20% || Material delivery and handling | Number of deliveries | 10% || Design | Hours of design time | 20% || Installation | Hours of installation time | 50% |### Number of Activities for Standard and Custom-Made Windows| | Standard | Custom ||------------------------------|-----------|---------|| Number of purchase orders | 1,000 | 1,400 || Number of deliveries | 200 | 400 || Hours of design time | 200 | 800 || Hours of installation time | 700 | 600 |### Order No. 159 DetailsDuring the past year, Clear Solutions accepted order no. 159 for one custom window installation that would require the following:- Direct labor hours: 20- Number of purchase orders: 3- Number of deliveries: 2- Hours of design time: 5- Hours of installation time: 4This implementation of activity-based costing allows Clear Solutions to allocate costs more accurately based on the specific activities involved in their window manufacturing and installation processes.

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Description: **Question 4.1:** Calculate the overhead rate based on the traditional overhead allocation method using direct labour hours as the base. **NOTE:** Enter only the number of dollars, do not enter the dollar, "$", symbol. Therefore if your answer is "$

Calculation of predetermined overhead rate based on Direct labour hours::: Predetermined overhead…

Business

Accounting

Calculate the overhead rate based on the traditional overhead allocation ethod using direct labour hours as the base. NOTE: Enter only the number of dollars, do not e e dollar, "$", symbol. Therefore if your answer is "$10", enter only "10". estion 35 iestion 4.2 ulate the total overhead applied to order no. 159 using the traditional overhead rate calcul estion 4.1 above. NOTE: Enter only the number of dollars, do not enter the dollar, "$" , sy efore if your answer is "$10", enter only "10".

Calculate the overhead rate based on the traditional overhead allocation ethod using direct labour hours as the base. NOTE: Enter only the number of dollars, do not e e dollar, "$", symbol. Therefore if your answer is "$10", enter only "10". estion 35 iestion 4.2 ulate the total overhead applied to order no. 159 using the traditional overhead rate calcul estion 4.1 above. NOTE: Enter only the number of dollars, do not enter the dollar, "$" , sy efore if your answer is "$10", enter only "10".

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Please answer all the parts , otherwise skip it please answer within the format by providing formula the detailed workingPlease provide answer in text (Without image)Please provide answer in text (Without image)Please provide answer in text (Without image)
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a. REQUIREMENTS #2 and #3 ONLY of Exercise 4-49 (picture 2). Assume Direct Labor workers make $20 per hour, so with the given labor cost per job, you can determine the number of hours worked. CHANGE the Exercise to say that Overhead is applied at the rate of $32 per direct labor hour. ALSO CHANGE to say that Job #39 and Job #40 were completed and sold, while Job #41 and Job #42 are complete but not sold, and Job #43 is not completed yet. b. Use the information in Problem 4-53 (picture 2) to prepare journal entries for the month of July with the following CHANGES. First, assume that the company uses a plantwide overhead rate based on direct labor dollars. Also assume that estimated information for the year includes Direct labor dollars of $1,642,000. Finally, assume that the company sells its jobs at a selling price equal to (cost + 25% of cost markup).
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