Taveras Corporation is currently operating at 50% of its available manufacturing capacity. It uses a job-order costing system with a plantwide predetermined overhead rate based on machine-hours. At the beginning of the year, the company made the following estimates: Machine-hours required to support estimated production Fixed manufacturing overhead cost Variable manufacturing overhead cost per machine-hour Required: 1. Compute the plantwide predetermined overhead rate. 2. During the year, Job P90 was started, completed, and sold to the customer for $4,000. The following information was available with respect to this job: Direct materials Direct labor cost Machine-hours used 240,000 $ 4,320,000 $ 2.00 $ 1,840 $ 1,320 87 Compute the total manufacturing cost assigned to Job P90.

Taveras Corporation is currently operating at 50% of its available manufacturing capacity. It uses a job-order costing system with a plantwide predetermined overhead rate based on machine-hours. At the beginning of the year, the company made the following estimates: Machine-hours required to support estimated production Fixed manufacturing overhead cost Variable manufacturing overhead cost per machine-hour Required: 1. Compute the plantwide predetermined overhead rate. 2. During the year, Job P90 was started, completed, and sold to the customer for $4,000. The following information was available with respect to this job: Direct materials Direct labor cost Machine-hours used 240,000 $ 4,320,000 $ 2.00 $ 1,840 $ 1,320 87 Compute the total manufacturing cost assigned to Job P90.

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Description: Taveras Corporation is currently operating at 50% of its available manufacturing capacity. It uses a job-order costing system with aplantwide predetermined overhead rate based on machine-hours. At the beginning of the year, the company made the foll

FINANCIAL ACCOUNTING

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Chapter1: Financial Statements And Business Decisions

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Concept explainers

Variance Analysis

In layman's terms, variance analysis is an analysis of a difference between planned and actual behavior. Variance analysis is mainly used by the companies to maintain a control over a business. After analyzing differences, companies find the reasons for the variance so that the necessary steps should be taken to correct that variance.

Standard Costing

The standard cost system is the expected cost per unit product manufactured and it helps in estimating the deviations and controlling them as well as fixing the selling price of the product. For example, it helps to plan the cost for the coming year on the various expenses.

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Question

Taveras Corporation is currently operating at 50% of its available manufacturing capacity. It uses a job-order costing system with a
plantwide predetermined overhead rate based on machine-hours. At the beginning of the year, the company made the following
estimates:
Machine-hours required to support estimated production
Fixed manufacturing overhead cost
Variable manufacturing overhead cost per machine-hour
Required:
1. Compute the plantwide predetermined overhead rate.
2. During the year, Job P90 was started, completed, and sold to the customer for $4,000. The following information was available with
respect to this job:
Direct materials
Direct labor cost
Machine-hours used
Compute the total manufacturing cost assigned to Job P90.
$ 1,840
$ 1,320
87
Complete this question by entering your answers in the tabs below.
Required 1 Required 2
Compute the total manufacturing cost assigned to Job P90.
Direct materials
Direct labor
Overhead applied
Total manufacturing cost
240,000
$ 4,320,000
$ 2.00

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Taveras Corporation is currently operating at 50% of its available manufacturing capacity. It uses a job-order costing system with a plantwide predetermined overhead rate based on machine-hours. At the beginning of the year, the company made the following estimates: Machine-hours required to support estimated production Fixed manufacturing overhead cost Variable manufacturing overhead cost per machine-hour Required: 190,000 $ 3,420,000 $ 2.00 1. Compute the plantwide predetermined overhead rate. 2. During the year, Job P90 was started, completed, and sold to the customer for $3,000. The following information was available with respect to this job: Direct materials $ 1,380 Direct labor cost Machine-hours used $ 990 77
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