(Q.5) Apple Valley Corporation uses a job cost system and has two production departments, A and B. Budgeted manufacturing costs for the year are: Direct materials: Direct labor: Department A $700,000 $200,000 $600,000 Direct materials Direct manufacturing labori Manufacturing overhead The actual material and labor costs charged to Job #432 and Job #433 were as follows: Job #432 Job #433 $25,000 $32,000 Department A Department B Department B $100,000 $800,000 $400,000 $ 8,000 $12,000 $20,000 $9,500 $13,500 $23,000 Apple Vailey applies manufacturing overhead costs to jobs on the basis of direct manufacturing labor cost using departmental rates determined at the beginning of the year. a. Calculate overhead allocation rates for the departments. Departm ent B

(Q.5) Apple Valley Corporation uses a job cost system and has two production departments, A and B. Budgeted manufacturing costs for the year are: Direct materials: Direct labor: Department A $700,000 $200,000 $600,000 Direct materials Direct manufacturing labori Manufacturing overhead The actual material and labor costs charged to Job #432 and Job #433 were as follows: Job #432 Job #433 $25,000 $32,000 Department A Department B Department B $100,000 $800,000 $400,000 $ 8,000 $12,000 $20,000 $9,500 $13,500 $23,000 Apple Vailey applies manufacturing overhead costs to jobs on the basis of direct manufacturing labor cost using departmental rates determined at the beginning of the year. a. Calculate overhead allocation rates for the departments. Departm ent B

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Mack Precision Tool and Die has two production departments, Fabricating and Finishing, and two service departments, Repair and Quality Control. Direct costs for each department and the proportion of service costs used by the various departments for the month of March follow: Department Fabricating Finishing Repair Quality Control From: Direct Costs Repair $ 147,600 Service department costs Repair Quality control Total 112, 200 48,300 140, 210 $ Repair 8 0.3 0 $ Proportion of Services Used by Quality Control Fabricating Required: Use the reciprocal method to allocate the service costs. (Matrix algebra is not required.) Note: Amounts to be deducted should be indicated by a minus sign. Do not round Intermediate calculations. Round your final answers to the nearest whole dollar amounts. 0.3 Cost Allocation To: Quality Control 0.5 8.2 Fabricating $ Finishing 0.2 0.5 0 $ Finishing
6)Concord Corporation thinks machine hours is the best activity base for its manufacturing overhead. The estimate of annual overhead costs for its jobs was $1650000. The company used 1000 hours of processing on Job No. B12 during the period and incurred overhead costs totaling $1700000. The budgeted machine hours for the year totaled 20000. How much overhead should be applied to Job No. B12? a) $1700 b) $82500 C) $85000 d) $1650
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Activity-Based Costing: Factory Overhead Costs The total factory overhead for Bardot Marine Company is budgeted for the year at $1,347,400, divided into four activities: fabrication, $660,000; assembly, $276,000; setup, $224,400; and inspection, $187,000. Bardot Marine manufactures two types of boats: speedboats am bass boats. The activity-base usage quantities for each product by each activity are as follows: Fabrication Assembly Setup Inspection Speedboat 11,000 dlh 34,500 dlh 79 setups 138 inspections Bass boat 33,000 11,500 581 962 44,000 dlh 46,000 dlh 660 setups 1,100 inspections Each product is budgeted for 6,500 units of production for the year. a. Determine the activity rates for each activity. Fabrication per direct labor hour Assembly %$4 per direct labor hour Setup %$4 per setup Inspection per inspection b. Determine the activity-based factory overhead per unit for each product. Round to the nearest whole dollar. Speedboat per unit Bass boat %$4 per unit
Facebo... PIUK Lea se Lux Corporation uses a job cost system and has two production departments,X and Y. Budgeted manufacturing costs for the year are: Department X DepartmentY on Direct materials $1400,000 $200,000 Direct manufacturing labor $400,000 $1600,000 Manufacturing overhead $1200,000 $800,000 The actual material and labor costs charged to Job #512 were as follows: Total Direct maternals: $50,000 Direct labor: Department X Department Y s 16,000 $24,000 $40,000 Lux applies manufacturing overhead costs to jobs on the basis of direct manufacturing labor cost using departmental rates determined at the beginning of the year. For Department X, the manufacturing overhead allocation rate is: Select one: a. 300% b. 33% C. 100% d. 66%% 23°C uaio
if job 10 consists of 50 units of product, what is the unit cost of this job?
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