Glencoe, Inc., costs products using a normal costing system. The following data is available for last year: Budgeted: 4.1 4.2 4.3 Overhead Machine hours Direct labour hours 4.4 Actual: Overhead Machine hours Direct labour hours Prime cost Number of units R476 000 140 000 17 000 Overhead is applied on the basis of direct labour hours. Required: R475 000 137 000 16 550 R1 750 000 250 000 Calculate the predetermined overhead rate. Calculate the applied overhead for last year. Was the overhead over- or under-applied, and by how much? Calculate the total cost per unit produced (to 2 decimal places).

Glencoe, Inc., costs products using a normal costing system. The following data is available for last year: Budgeted: 4.1 4.2 4.3 Overhead Machine hours Direct labour hours 4.4 Actual: Overhead Machine hours Direct labour hours Prime cost Number of units R476 000 140 000 17 000 Overhead is applied on the basis of direct labour hours. Required: R475 000 137 000 16 550 R1 750 000 250 000 Calculate the predetermined overhead rate. Calculate the applied overhead for last year. Was the overhead over- or under-applied, and by how much? Calculate the total cost per unit produced (to 2 decimal places).

Name: Glencoe, Inc., costs products using a normal costing system. The foll
Uploaded: 2024-03-20T06:33:06.000Z
Channel: Bartleby
Description: Glencoe, Inc., costs products using a normal costing system. The following datais available for last year:Budgeted:4.14.24.3OverheadMachine hoursDirect labour hours4.4Actual:OverheadMachine hoursDirect labour hoursPrime costNumber of unitsR476 00014

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Coronado Industries has the following overhead costs and cost drivers. Direct labor hours are estimated at 100000 for the year. The following information is available regarding activity cost pools, cost drivers, total estimated overhead costs, and estimated use of activities per product: Activity Cost Pool Ordering and Receiving Machine Setup Machining Assembly Inspection Cost Driver Orders Setups Machine hours Parts Inspections Est. Overhead $ 60000 $0.60 per direct labor hour. $0.06 per part. $6880 per order. O $120 per order. 294500 1625500 1200000 260000 Cost Driver Activity 500 orders 450 setups 125000 MH 1000000 parts 500 inspections If overhead is applied using activity-based costing, the overhead application rate for ordering and receiving is
Please help me. Thankyou.
X applies overhead on the basis of direct labor hours (DLH). Datas are given: Budgeted overhead = 180,000, Actual DLH = 10,000, and Actual overhead = $200,000. The adjustment for applied overhead resulted in a $50,000 decrease in net income. Q: What's the direct labor hours used to calculate A2B's predetermined overhead rate (POHR). a. 8,000 direct labor hours b. 14,000 direct labor hours c. 12,000 direct labor hours d. 10,000 direct labor hours. e. None of the other answers are correct
Mike. Inc has two products A and B. The budgeted fixed manufacturing overhead is $10,000. The departmentis expected to work in full capacity. It plans to use cost-based pricing by using the absorption method. Assumethe firm can produce and sell 1,000 units Product A and 1,000 units Product B. Product A Product BDirect Materials $3 $2Direct Labor $1 $3Variable Manufacturing Overhead $2 $1Budgeted labor hours used for each unit product 1 4Budgeted machine hours used for each unit product 3 1Sale Demand 1,000 1,000 Product A…
Subject : Accounting
A company uses a standard cost system using direct labor-hours (DLHS) to apply muinufactoring overficad Cost datu reled fo fed manufacturing overhead (FMOH) for a recent period was: Actual FMOH cost incurred $ 840,000 FMOH budget variance 42,000 favorable Activity data for the month was: Denominator activity level in DLHS Standard hours allowed for actual output 21,000 19,600 22,050 DLHS DLHS DLHS Actual number of DLHS incurred The amount of total fixed manufacturing overhead cost applied to production last month was closest to $ 744,800 $ 823,200 $ 784,000 S 837,900 E None of the above is correct. A. B. C. D.
Michelle Company uses the Activity-based costing. It has identified the following overhead costs and cost drivers for the coming year; Budgeted cost P36,000 Overhead item Cost driver Budgeted Activity level No. of setups No. of inspections Machine set-up Inspection Material handling Engineering Budgeted direct labor cost was P100,000, and budgeted direct material cost was P280,000. The following information was collected on three jobs that were completed during the year: 900 120,000 4,000 No. of material moves 80,000 8,000 Engineering hours 60,000 3,000 Job 210 12,000 Job 220 Job 230 Direct materials 9,000 10,000 Direct labor 18,000 13,500 140 15,000 Units completed 100 200
j2j
A company has the following information for the month of October. The company applies overhead (OH) costs using standard machine hours as the allocation base. Actual Results Actual variable OH costs Actual fixed OH costs Actual machine hours Actual output Budget (for 1,000 units) Variable OH Fixed OH Budgeted machine hours 1-1 AP $2,500 $4,700 V $1,280 MHS 1,100 units $2,000 $4,400 1,000 MHS Q. What was the company's FMOH volume variance for October? Answer. (Click to select) (Click to select) $440 Favorable $640 Favorable None of the answers are correct $640 Unfavorable $440 Unfavorable
Mike. Inc has two products A and B. The budgeted fixed manufacturing overhead is $10,000. The departmentis expected to work in full capacity. It plans to use cost-based pricing by using the absorption method. Assumethe firm can produce and sell 1,000 units Product A and 1,000 units Product B. Product A Product BDirect Materials $3 $2Direct Labor $1 $3Variable Manufacturing Overhead $2 $1Budgeted labor hours used for each unit product 1 4Budgeted machine hours used for each unit product 3 1Sale Demand 1,000 1,000 Product A…
Hamid Ltd produces two products – shoes and belts. At present the company uses absorption costing, based on a labour hours rate, to establish the production overhead costs. The budgeted information for Period 4 is shown below. Product Shoes Belts Production in units 6000 5000 Machine hours per unit 5 hrs 6 hours Labour Hour per unit 3 hours 7 hours The overhead and cost driver information for Period 4 is shown below. Activity Cost in (£) Product Inspection 46,200 Machine Set-up 21,000 Machine maintenance 20,800 Handling and Packaging 26,400 Additional information Product inspection – one in every ten products is inspected. Machine set-up – the company uses a single machine to produce both products. For period 4, 300 setups will be made that will be shared equally between both the products. Machine maintenance – this is based on a predetermined number of machine hours. Product handling and packaging – each product…
Crash Bang, Co. uses a standard cost system and provides the following information:Standards: Static budget variable overhead $5,590.00. Static budget fixed overhead $22,180.00. Static budget direct labor hours 565 hours. Static budget number of units 20,200 units. Static budget direct labor hours 0.016 hours per unit. Crash Bang, Co. allocates manufacturing overhead to production based on standard direct labor hours. Crash Bang, Co. reported the following actual results for 2020:Actual: Number of units produced 21,000. Actual variable overhead $5,220.00 Actual fixed overhead $24,370.00. Actual direct labor hours 482. (Round your answers to two decimal places when needed and use rounded answers for all future calculations).1. Compute the variable overhead allocation rates. Budgeted VOH ? Budgeted allocation base = Standard VOH allocation rate = 2. Calculate the variable overhead cost and efficiency variances. (AC ? SC) ? AQ =…