1. Raw materials were used in production for A 46: 25 kg copper tube, unit price 70/kg,for B10: 100kg copper tube, unit price 100/kg.2. Raw materials were used in production 10 liters of fuel, unit price 18/liter3. Based on the quarterly labor sheet:- Direct working time:Order A46: 800 hours, unit price 50/hourOrder B10: 900 hours, unit price 50/hour- Indirect labor costs:Workshop staff: 5000Workshop manager salary: 90004. Factory and equipment depreciation: 120005. Warehouse rent in the quarter: 20006. Electricity and water used in the workshop: 21007. Order A46 was completed during the quarter. Half of the class A trumpets sold in thequarter for 800/piece, 10% VAT.The company allocates manufacturing overhead according to direct labor time.Predetermined manufacturing overhead is 426,300, direct labor time is estimated at20.300 hours.Required:2.1. Determine the predetermined manufacturing overhead rate for each order?2.2. Make a job cost sheet for order A46?2.3. Determine the Manufacturing Overhead underapplied or overapplied and record itinto the T-account? Company S specializes in the production of brass musical instruments for students.In the first quarter of 202N, the company produced 2 batches of products: order A46 (46trumpets of class A) and order B10 (10 trumpets of class B). There were transactionsarising in the quarter as follows: (Figure in: $)

Name: 1. Raw materials were used in production for A 46: 25 kg copper tube,
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Description: 1. Raw materials were used in production for A 46: 25 kg copper tube, unit price 70/kg,for B10: 100kg copper tube, unit price 100/kg.2. Raw materials were used in production 10 liters of fuel, unit price 18/liter3. Based on the quarterly labor sheet

All of the indirect costs associated with running a plant are referred to as manufacturing overhead,…

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der A46 was completed during the quarter. Half of the class A trumpets sold in the ter for 800/piece, 10% VAT. company allocates manufacturing overhead according to direct labor time. Hetermined manufacturing overhead is 426,300, direct labor time is estimated at #00 hours. quired: Determine the predetermined manufacturing overhead rate for each order? Make a job cost sheet for order A46? Determine the Manufacturing Overhead underapplied or overapplied and record it the T-account?

der A46 was completed during the quarter. Half of the class A trumpets sold in the ter for 800/piece, 10% VAT. company allocates manufacturing overhead according to direct labor time. Hetermined manufacturing overhead is 426,300, direct labor time is estimated at #00 hours. quired: Determine the predetermined manufacturing overhead rate for each order? Make a job cost sheet for order A46? Determine the Manufacturing Overhead underapplied or overapplied and record it the T-account?

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

Variance Analysis

In layman's terms, variance analysis is an analysis of a difference between planned and actual behavior. Variance analysis is mainly used by the companies to maintain a control over a business. After analyzing differences, companies find the reasons for the variance so that the necessary steps should be taken to correct that variance.

Standard Costing

The standard cost system is the expected cost per unit product manufactured and it helps in estimating the deviations and controlling them as well as fixing the selling price of the product. For example, it helps to plan the cost for the coming year on the various expenses.

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Question

1. Raw materials were used in production for A 46: 25 kg copper tube, unit price 70/kg,
for B10: 100kg copper tube, unit price 100/kg.
2. Raw materials were used in production 10 liters of fuel, unit price 18/liter
3. Based on the quarterly labor sheet:
- Direct working time:
Order A46: 800 hours, unit price 50/hour
Order B10: 900 hours, unit price 50/hour
- Indirect labor costs:
Workshop staff: 5000
Workshop manager salary: 9000
4. Factory and equipment depreciation: 12000
5. Warehouse rent in the quarter: 2000
6. Electricity and water used in the workshop: 2100
7. Order A46 was completed during the quarter. Half of the class A trumpets sold in the
quarter for 800/piece, 10% VAT.
The company allocates manufacturing overhead according to direct labor time.
Predetermined manufacturing overhead is 426,300, direct labor time is estimated at
20.300 hours.
Required:
2.1. Determine the predetermined manufacturing overhead rate for each order?
2.2. Make a job cost sheet for order A46?
2.3. Determine the Manufacturing Overhead underapplied or overapplied and record it
into the T-account?

Company S specializes in the production of brass musical instruments for students.
In the first quarter of 202N, the company produced 2 batches of products: order A46 (46
trumpets of class A) and order B10 (10 trumpets of class B). There were transactions
arising in the quarter as follows: (Figure in: $)

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