Comans Corporation has two production departments, Milling and Customizing. The company uses a job-order costing syste computes a predetermined overhead rate in each production department. The Milling Department's predetermined overhead based on machine-hours and the Customizing Department's predetermined overhead rate is based on direct labor-hours. At beginning of the current year, the company had made the following estimates: Machine-hours Direct labor-hours Total fixed manufacturing overhead cost Job A319: Machine-hours Direct labor-hours Direct materials Direct labor cost Variable manufacturing overhead per machine-hour Variable manufacturing overhead per direct labor-hour During the current month the company started and finished Job A319. The following data were recorded for this job: Milling 40 30 $ 400 $ 570 Customizing 30 40 Milling $200 $ 600 26,000 11,000 $ 91,000 $ 2.00 Customizing 10,000 8,000 $ 44,000 $4.40 If the company marks up its manufacturing costs by 20% then the selling price for Job A319 would be closest to: (Round your intermediate calculations to 2 decimal places.)
Comans Corporation has two production departments, Milling and Customizing. The company uses a job-order costing syste computes a predetermined overhead rate in each production department. The Milling Department's predetermined overhead based on machine-hours and the Customizing Department's predetermined overhead rate is based on direct labor-hours. At beginning of the current year, the company had made the following estimates: Machine-hours Direct labor-hours Total fixed manufacturing overhead cost Job A319: Machine-hours Direct labor-hours Direct materials Direct labor cost Variable manufacturing overhead per machine-hour Variable manufacturing overhead per direct labor-hour During the current month the company started and finished Job A319. The following data were recorded for this job: Milling 40 30 $ 400 $ 570 Customizing 30 40 Milling $200 $ 600 26,000 11,000 $ 91,000 $ 2.00 Customizing 10,000 8,000 $ 44,000 $4.40 If the company marks up its manufacturing costs by 20% then the selling price for Job A319 would be closest to: (Round your intermediate calculations to 2 decimal places.)
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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narubhai
Transcribed Image Text:Comans Corporation has two production departments, Milling and Customizing. The company uses a job-order costing system a
computes a predetermined overhead rate in each production department. The Milling Department's predetermined overhead ra
based on machine-hours and the Customizing Department's predetermined overhead rate is based on direct labor-hours. At the
beginning of the current year, the company had made the following estimates:
Machine-hours
Job A319:
Machine-hours
Direct labor-hours
Direct materials
Direct labor cost
Direct labor-hours
Total fixed manufacturing overhead cost
Variable manufacturing overhead per machine-hour
Variable manufacturing overhead per direct labor-hour
$4.40
During the current month the company started and finished Job A319. The following data were recorded for this job:
Milling
40
30
$ 400
$ 570
Milling
Customizing
30
40
$ 200
$ 600
26,000
11,000
$ 91,000
$ 2.00
Customizing
10,000
8,000
$ 44,000
If the company marks up its manufacturing costs by 20% then the selling price for Job A319 would be closest to: (Round your
intermediate calculations to 2 decimal places.)
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