Question 3 Use the following information for Question 3 a) and 3 b): a) At the beginning of the year, Jerry Sdn. Bhd. estimated the following: Firing Department Polishing Department Total RM 110,000 100,000 RM 515,000 RM Overhead 405,000 Direct labor hours Kiln hours 28,750 90,000 128,750 90,000 Refer to the information for Jerry Sdn. Bhd. above. Jerry uses departmental overhead rates. In the firing department, overhead is applied on the basis of kiln hours (number of hours spent in the gas-fired kiln). In the polishing department, overhead is applied on the basis of direct labor hours. Actual data for the month of July are as follows: Firing Department Polishing Department Total RM 43,370 10,950 7,400 RM RM 9,370 8,600 Overhead 34,000 Direct labor hours Kiln hours 2,350 7,400 Required: i) Calculate the predetermined overhead rates for the firing and polishing departments. ii) Calculate the overhead applied to production in each department for the month of July. iii) By how much has each department's overhead been overapplied? Underapplied? b) At the beginning of the year, Selasih Sdn. Bhd. estimated the following: Machining Department Assembly Department Total RM 240,000 RM 360,000 240,000 RM 600,000 375,000 200,000 Overhead Direct labor hours Machine hours 135,000 200,000 Selasih uses departmental overhead rates. In the machining department, overhead is applied on the basis of machine hours. In the assembly department, overhead is applied on the basis of direct labor hours, Actual data for the month of June are as follows: Machining Department Assembly Department Total RM 22,500 RM 30,750 20,000 RM Overhead Direct labor hours Machine hours 11,000 17,000 53,250 31,000 17,000 0. Required: i) Calculate the predetermined overhead rates for the machining and assembly departments. ii) Calculate the overhead applied to production in each department for the month of June. i) By how much has each department's overhead been overapplied? Underapplied?
Question 3 Use the following information for Question 3 a) and 3 b): a) At the beginning of the year, Jerry Sdn. Bhd. estimated the following: Firing Department Polishing Department Total RM 110,000 100,000 RM 515,000 RM Overhead 405,000 Direct labor hours Kiln hours 28,750 90,000 128,750 90,000 Refer to the information for Jerry Sdn. Bhd. above. Jerry uses departmental overhead rates. In the firing department, overhead is applied on the basis of kiln hours (number of hours spent in the gas-fired kiln). In the polishing department, overhead is applied on the basis of direct labor hours. Actual data for the month of July are as follows: Firing Department Polishing Department Total RM 43,370 10,950 7,400 RM RM 9,370 8,600 Overhead 34,000 Direct labor hours Kiln hours 2,350 7,400 Required: i) Calculate the predetermined overhead rates for the firing and polishing departments. ii) Calculate the overhead applied to production in each department for the month of July. iii) By how much has each department's overhead been overapplied? Underapplied? b) At the beginning of the year, Selasih Sdn. Bhd. estimated the following: Machining Department Assembly Department Total RM 240,000 RM 360,000 240,000 RM 600,000 375,000 200,000 Overhead Direct labor hours Machine hours 135,000 200,000 Selasih uses departmental overhead rates. In the machining department, overhead is applied on the basis of machine hours. In the assembly department, overhead is applied on the basis of direct labor hours, Actual data for the month of June are as follows: Machining Department Assembly Department Total RM 22,500 RM 30,750 20,000 RM Overhead Direct labor hours Machine hours 11,000 17,000 53,250 31,000 17,000 0. Required: i) Calculate the predetermined overhead rates for the machining and assembly departments. ii) Calculate the overhead applied to production in each department for the month of June. i) By how much has each department's overhead been overapplied? Underapplied?
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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ANSWER A&B PLEASE. THANK YOU.
Transcribed Image Text:Question 3
Use the following information for Question 3 a) and 3 b):
a) At the beginning of the year, Jerry Sdn. Bhd. estimated the following:
Firing Department Polishing Department
RM
405,000
28,750
Total
RM
110,000
100,000
RM
Overhead
515.000
128,750
90,000
Direct labor hours
Kiln hours
90,000
Refer to the information for Jerry Sdn. Bhd. above. Jerry uses departmental overhead
rates. In the firing department, overhead is applied on the basis of kiln hours (number of
hours spent in the gas-fired kiln). In the polishing department, overhead is applied on the
basis of direct labor hours. Actual data for the month of July are as follows:
Firing Department Polishing Department
RM
34,000
2,350
7,400
Total
RM
9,370
8,600
RM
43,370
10,950
7,400
Overhead
Direct labor hours
Kiln hours
Required:
i) Calculate the predetermined overhead rates for the firing and polishing departments.
ii) Calculate the overhead applied to production in each department for the month of July.
iii) By how much has each department's overhead been overapplied? Underapplied?
b) At the beginning of the year, Selasih Sdn. Bhd. estimated the following:
Machining Department Assembly Department
Total
RM
RM
360,000
RM
Overhead
240,000
600,000
375,000
200,000
Direct labor hours
135,000
200,000
240,000
Machine hours
Selasih uses departmental overhead rates. In the machining department, overhead is
applied on the basis of machine hours. In the assembly department, overhead is applied
on the basis of direct labor hours. Actual data for the month of June are as follows:
Machining Department Assembly Department
Total
RM
RM
RM
22,500
11,000
17,000
Overhead
30,750
53,250
31,000
17,000
Direct labor hours
20,000
Machine hours
Required:
i) Calculate the predetermined overhead rates for the machining and assembly
departments.
ii) Calculate the overhead applied to production in each department for the month of June.
i) By how much has each department's overhead been overapplied? Underapplied?
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