Direct labor-hours Machine-hours Total fixed manufacturing overhead cost Variable manufacturing overhead per machine-hour Variable manufacturing overhead per direct labor-hour Department Cutting 6,700 64,300 $ 390,000 $ 3.00 Finishing 61,000 3,000 $ 514,000 $ 4.75 Required: 1. Compute the predetermined overhead rate for each department. 2. The job cost sheet for Job 203, which was started and completed during the year, showed the following: Department Cutting 3 82 $ 760 Finishing 16 Direct labor-hours Machine-hours Direct materials Direct labor cost 4 $ 390 $ 368 $69 Using the predetermined overhead rates that you computed in requirement (1), compute the total manufacturing cost assigned to Job 203. 3. Would you expect substantially different amounts of overhead cost to be assigned to some jobs if the company used a plantwide predetermined overhead rate based on direct labor-hours, rather than using departmental rates? Complete the question by entering your answers in the tabs given below. Required 1 Required 2 Required 3 Using the predetermined overhead rates that you computed in requirement (1), compute the total manufacturing cost assigned to Job 203. (Round intermediate calculations to 2 decimal places and final answer to the nearest dollar amount.) Total manufacturing cost Required 1 Required 3 < Prev 1 of 1 Next
Direct labor-hours Machine-hours Total fixed manufacturing overhead cost Variable manufacturing overhead per machine-hour Variable manufacturing overhead per direct labor-hour Department Cutting 6,700 64,300 $ 390,000 $ 3.00 Finishing 61,000 3,000 $ 514,000 $ 4.75 Required: 1. Compute the predetermined overhead rate for each department. 2. The job cost sheet for Job 203, which was started and completed during the year, showed the following: Department Cutting 3 82 $ 760 Finishing 16 Direct labor-hours Machine-hours Direct materials Direct labor cost 4 $ 390 $ 368 $69 Using the predetermined overhead rates that you computed in requirement (1), compute the total manufacturing cost assigned to Job 203. 3. Would you expect substantially different amounts of overhead cost to be assigned to some jobs if the company used a plantwide predetermined overhead rate based on direct labor-hours, rather than using departmental rates? Complete the question by entering your answers in the tabs given below. Required 1 Required 2 Required 3 Using the predetermined overhead rates that you computed in requirement (1), compute the total manufacturing cost assigned to Job 203. (Round intermediate calculations to 2 decimal places and final answer to the nearest dollar amount.) Total manufacturing cost Required 1 Required 3 < Prev 1 of 1 Next
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Concept explainers
Process Costing
Process costing is a sort of operation costing which is employed to determine the value of a product at each process or stage of producing process, applicable where goods produced from a series of continuous operations or procedure.
Job Costing
Job costing is adhesive costs of each and every job involved in the production processes. It is an accounting measure. It is a method which determines the cost of specific jobs, which are performed according to the consumer’s specifications. Job costing is possible only in businesses where the production is done as per the customer’s requirement. For example, some customers order to manufacture furniture as per their needs.
ABC Costing
Cost Accounting is a form of managerial accounting that helps the company in assessing the total variable cost so as to compute the cost of production. Cost accounting is generally used by the management so as to ensure better decision-making. In comparison to financial accounting, cost accounting has to follow a set standard ad can be used flexibly by the management as per their needs. The types of Cost Accounting include – Lean Accounting, Standard Costing, Marginal Costing and Activity Based Costing.
Topic Video
Question
Transcribed Image Text:A ezto.mheducation.com
tte.edu
S Module 2- Video Lecture: Fundamentals.
Assignments: 202180-Fall 2021-ACCT-2
M Question 1- Chapter 2 Lab Day - Connect
2 Lab Day i
Saved
Hel
Direct labor-hours
Machine-hours
Total fixed manufacturing overhead cost
Variable manufacturing overhead per machine-hour
Variable manufacturing overhead per direct labor-hour
Department
Cutting
6,700
64,300
$ 390,000
$ 3.00
Finishing
61,000
3,000
$ 514,000
$ 4.75
Required:
1. Compute the predetermined overhead rate for each department.
2. The job cost sheet for Job 203, which was started and completed during the year, showed the following:
Department
Cutting
Finishing
Direct labor-hours
Machine-hours
Direct materials
Direct labor cost
3
82
ces
16
$ 760
$ 69
4
$ 390
$ 368
Using the predetermined overhead rates that you computed in requirement (1), compute the total manufacturing cost assigned to Job
203.
3. Would you expect substantially different amounts of overhead cost to be assigned to some jobs if the company used a plantwide
predetermined overhead rate based on direct labor-hours, rather than using departmental rates?
Complete the question by entering your answers in the tabs given below.
Required 1
Required 2
Required 3
Using the predetermined overhead rates that you computed in requirement (1), compute the total manufacturing cost
assigned to Job 203. (Round intermediate calculations to 2 decimal places and final answer to the nearest dollar amount.)
Total manufacturing cost
< Required 1
Required 3>
< Prev
1 of 1
Next
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