Daniel is currently working on assembling some cost accounting numbers for the upcoming year for a client who produces disposable utensils. The factory has the following costs: Factory Insurance - $56,800 Factory Supervisor's Salary - $201,200 Direct Materials (Plastic) - $29,100 Cardboard for Packaging - $13,700 Depreciation on Factory Equipment - $121,400 Assembly Line Worker Wages - $37,700. The Direct Labor (DL) costs consisted of 9,300 DL hours and 5,000 machine hours. Management has decided to proceed using a simple costing system resulting in a plant-wide cost pool. What is the budgeted MOH rate using one plant-wide pool based on machine hours? A) $0.01 B) $11.79 C) $30.10 D) $75.88
Daniel is currently working on assembling some cost accounting numbers for the upcoming year for a client who produces disposable utensils. The factory has the following costs: Factory Insurance - $56,800 Factory Supervisor's Salary - $201,200 Direct Materials (Plastic) - $29,100 Cardboard for Packaging - $13,700 Depreciation on Factory Equipment - $121,400 Assembly Line Worker Wages - $37,700. The Direct Labor (DL) costs consisted of 9,300 DL hours and 5,000 machine hours. Management has decided to proceed using a simple costing system resulting in a plant-wide cost pool. What is the budgeted MOH rate using one plant-wide pool based on machine hours? A) $0.01 B) $11.79 C) $30.10 D) $75.88
Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter18: Pricing And Profitability Analysis
Section: Chapter Questions
Problem 1CE: Ventana Window and Wall Treatments Company provides draperies, shades, and various window...
Related questions
Question
Need Help please provide correct answer with given option
![Daniel is currently working on assembling some cost accounting numbers
for the upcoming year for a client who produces disposable utensils. The
factory has the following costs:
Factory Insurance - $56,800
Factory Supervisor's Salary - $201,200
Direct Materials (Plastic) - $29,100
Cardboard for Packaging - $13,700
Depreciation on Factory Equipment - $121,400
Assembly Line Worker Wages - $37,700.
The Direct Labor (DL) costs consisted of 9,300 DL hours and 5,000
machine hours. Management has decided to proceed using a simple
costing system resulting in a plant-wide cost pool. What is the budgeted
MOH rate using one plant-wide pool based on machine hours?
A) $0.01
B) $11.79
C) $30.10
D) $75.88](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F91fc4a23-24dc-4e52-8b0d-3fce835206a1%2F8b1f02fa-c18e-4e79-9f60-cd13ecd05b7d%2Foto4a2_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Daniel is currently working on assembling some cost accounting numbers
for the upcoming year for a client who produces disposable utensils. The
factory has the following costs:
Factory Insurance - $56,800
Factory Supervisor's Salary - $201,200
Direct Materials (Plastic) - $29,100
Cardboard for Packaging - $13,700
Depreciation on Factory Equipment - $121,400
Assembly Line Worker Wages - $37,700.
The Direct Labor (DL) costs consisted of 9,300 DL hours and 5,000
machine hours. Management has decided to proceed using a simple
costing system resulting in a plant-wide cost pool. What is the budgeted
MOH rate using one plant-wide pool based on machine hours?
A) $0.01
B) $11.79
C) $30.10
D) $75.88
Expert Solution
![](/static/compass_v2/shared-icons/check-mark.png)
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
Step by step
Solved in 2 steps
![Blurred answer](/static/compass_v2/solution-images/blurred-answer.jpg)
Recommended textbooks for you
![Cornerstones of Cost Management (Cornerstones Ser…](https://www.bartleby.com/isbn_cover_images/9781305970663/9781305970663_smallCoverImage.gif)
Cornerstones of Cost Management (Cornerstones Ser…
Accounting
ISBN:
9781305970663
Author:
Don R. Hansen, Maryanne M. Mowen
Publisher:
Cengage Learning
Principles of Accounting Volume 2
Accounting
ISBN:
9781947172609
Author:
OpenStax
Publisher:
OpenStax College
![Managerial Accounting](https://www.bartleby.com/isbn_cover_images/9781337912020/9781337912020_smallCoverImage.jpg)
Managerial Accounting
Accounting
ISBN:
9781337912020
Author:
Carl Warren, Ph.d. Cma William B. Tayler
Publisher:
South-Western College Pub
![Cornerstones of Cost Management (Cornerstones Ser…](https://www.bartleby.com/isbn_cover_images/9781305970663/9781305970663_smallCoverImage.gif)
Cornerstones of Cost Management (Cornerstones Ser…
Accounting
ISBN:
9781305970663
Author:
Don R. Hansen, Maryanne M. Mowen
Publisher:
Cengage Learning
Principles of Accounting Volume 2
Accounting
ISBN:
9781947172609
Author:
OpenStax
Publisher:
OpenStax College
![Managerial Accounting](https://www.bartleby.com/isbn_cover_images/9781337912020/9781337912020_smallCoverImage.jpg)
Managerial Accounting
Accounting
ISBN:
9781337912020
Author:
Carl Warren, Ph.d. Cma William B. Tayler
Publisher:
South-Western College Pub
![Principles of Cost Accounting](https://www.bartleby.com/isbn_cover_images/9781305087408/9781305087408_smallCoverImage.gif)
Principles of Cost Accounting
Accounting
ISBN:
9781305087408
Author:
Edward J. Vanderbeck, Maria R. Mitchell
Publisher:
Cengage Learning