I also know that the predetermined overhead rate is 40/DLH X Your answer is incorrect.Calculate the total manufacturing cost for March.Total Manufacturing Cost$552750eTextbook and MediaYour answer is partially correct.Calculate the total cost for each of the five jobs as of March 31.Job 134Job 158Job 212Job 28714200$266602$2550502$201645 Concord Company produces high-quality microscopes for education and health care uses. The company uses a job order costingsystem. Because the microscopes' optics require significant manual labor to ensure adherence to strict manufacturingspecifications, the company applies overhead on the basis of direct labor hours. At the beginning of 2021, the company estimated itsmanufacturing overhead would be $1,960,000 and that employees would work a total of 49,000 direct labor hours. During March,the company worked on the following five jobs:Direct Laboradded duringDirect MaterialsDirect Labor HoursBeginningadded duringadded duringJobBalanceMarchMarchMarch134$120,600$3,000$6,400120158118,4502,50012,16030021217,80088,40036,6503,25028735,35071,80035,8502,70030118,99021,8451,400Total$292,200$184,690$112,9057,770Jobs 134 and 158 were started in January, Jobs 212 and 287 were started in February, and Job 301 was started in March. DuringMarch, workers completed Jobs 134, 158, and 212. Jobs 134 and 212 were delivered to customers during March.Actual overhead for the month of March was $176,300. The manufacturing overhead account is disposed of annually, not monthly.

Accounting manufacturing costs correctly is important for computing cost of goods manufactured.

Calculate the total manufacturing cost for March. Total Manufacturing Cost $ 552750 eTextbook and Media Your answer is partially correct. Calculate the total cost for each of the five jobs as of March 31.

Calculate the total manufacturing cost for March. Total Manufacturing Cost $ 552750 eTextbook and Media Your answer is partially correct. Calculate the total cost for each of the five jobs as of March 31.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

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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

I also know that the predetermined overhead rate is 40/DLH

X Your answer is incorrect.
Calculate the total manufacturing cost for March.
Total Manufacturing Cost
$
552750
eTextbook and Media
Your answer is partially correct.
Calculate the total cost for each of the five jobs as of March 31.
Job 134
Job 158
Job 212
Job 287
14200
$
26660
2$
255050
2$
201645

Concord Company produces high-quality microscopes for education and health care uses. The company uses a job order costing
system. Because the microscopes' optics require significant manual labor to ensure adherence to strict manufacturing
specifications, the company applies overhead on the basis of direct labor hours. At the beginning of 2021, the company estimated its
manufacturing overhead would be $1,960,000 and that employees would work a total of 49,000 direct labor hours. During March,
the company worked on the following five jobs:
Direct Labor
added during
Direct Materials
Direct Labor Hours
Beginning
added during
added during
Job
Balance
March
March
March
134
$120,600
$3,000
$6,400
120
158
118,450
2,500
12,160
300
212
17,800
88,400
36,650
3,250
287
35,350
71,800
35,850
2,700
301
18,990
21,845
1,400
Total
$292,200
$184,690
$112,905
7,770
Jobs 134 and 158 were started in January, Jobs 212 and 287 were started in February, and Job 301 was started in March. During
March, workers completed Jobs 134, 158, and 212. Jobs 134 and 212 were delivered to customers during March.
Actual overhead for the month of March was $176,300. The manufacturing overhead account is disposed of annually, not monthly.

Definition Definition Indirect costs incurred while producing goods or services. Overhead costs cannot be directly attributed to products or services. Overhead includes indirect material cost, indirect labor cost, rent, utilities expenses, and depreciation. Since these costs directly affect the profitability of a company, managing overhead becomes an important task for management.

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