Question 2.2Paddle Place manufactures paddles and tables. In December, the two production departments hadbudgeted allocation bases of 3,100 machine-hours in Paddle and 6,900 direct manufacturing labor-hours in Table. The budgeted manufacturing overheads for the month were $51,200 and $56,900,respectively. For Project X, the actual costs incurred in the two departments were as follows:PaddleTableDirect materials purchased on account$80,000$177,500Direct materials used21,20012,200Direct manufacturing laborIndirect manufacturing laborIndirect materials usedLease on equipmentUtilities41,90053,5008,9009,0005,1004,75014,1003,7509901,250Project X incurred 900 machine-hours in Paddle and 200 manufacturing labor-hours in Table. Thecompany uses a budgeted overhead rate for applying overhead to production.Submission Instructions:1. Determine the budgeted manufacturing overhead rate for each department.2. Prepare the journal entries for Paddle department.3. What is the total cost of Project X?

Manufacturing overhead is an accounting term that refers to all indirect costs incurred during a…

Question 2.2 Paddle Place manufactures paddles and tables. In December, the two production departments had budgeted allocation bases of 3,100 machine-hours in Paddle and 6,900 direct manufacturing labor- hours in Table. The budgeted manufacturing overheads for the month were $51,200 and $56,900, respectively. For Project X, the actual costs incurred in the two departments were as follows: Paddle $80,000 Table Direct materials purchased on account Direct materials used Direct manufacturing labor Indirect manufacturing labor Indirect materials used Lease on equipment Utilities $177,500 12,200 21,200 41,900 53,500 8,900 9,000 5,100 14,100 4,750 3,750 990 1,250 Project X incurred 900 machine-hours in Paddle and 200 manufacturing labor-hours in Table. The company uses a budgeted overhead rate for applying overhead to production. Submission Instructions: 1. Determine the budgeted manufacturing overhead rate for each department. 2. Prepare the journal entries for Paddle department. 3. What is the total cost of Project X?

Question 2.2 Paddle Place manufactures paddles and tables. In December, the two production departments had budgeted allocation bases of 3,100 machine-hours in Paddle and 6,900 direct manufacturing labor- hours in Table. The budgeted manufacturing overheads for the month were $51,200 and $56,900, respectively. For Project X, the actual costs incurred in the two departments were as follows: Paddle $80,000 Table Direct materials purchased on account Direct materials used Direct manufacturing labor Indirect manufacturing labor Indirect materials used Lease on equipment Utilities $177,500 12,200 21,200 41,900 53,500 8,900 9,000 5,100 14,100 4,750 3,750 990 1,250 Project X incurred 900 machine-hours in Paddle and 200 manufacturing labor-hours in Table. The company uses a budgeted overhead rate for applying overhead to production. Submission Instructions: 1. Determine the budgeted manufacturing overhead rate for each department. 2. Prepare the journal entries for Paddle department. 3. What is the total cost of Project X?

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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