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The following production estimates were made for the coming year: Total quilts to be produced Total manufacturing hours available per laborer Total direct laborers Total direct labor hours The following cost estimates were available at the beginning of the year. Use these estimates to determine total estimated manufacturing overhead during the year: 52,000.00 Production supervisor's salary per week (use 52 weeks in a year) Monthly rent 8,112.00 Utilities expense per quarter 2,704.00 Cost per pencil (useful life of each pencil is 20 hours) 200.00 Cost per scissors (useful life of each pair of scissors is 80 hours) 2,975.00 2,480.00 Cost per ruler (usefule life of each ruler is 50 hours) Cost of glue (per quilt) 0.62 12,400.00 Total Estimated Manufacturing Overhead $ 80,871.00 B. Calculate the Predetermined Overhead (PDOH) rate using direct labor hours (DLH) as the cost driver during the year to allocate manufacturing overhead to jobs and Work In Process Inventory: PDOH C. Complete the following job cost sheet for the WVU themed quilts: Job Cost Sheet Direct Materials Sheets Cost per Sheet $ 2.00 4.00 4.00 A. White material Blue material Yellow material 20,000 2,000 3 6,000 Amount $1,000 $ 676 676 2 119 62 Total Estimate for Year per DLH #N/A #N/A #N/A #N/A #N/A #N/A #N/A AN/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A

The following production estimates were made for the coming year: Total quilts to be produced Total manufacturing hours available per laborer Total direct laborers Total direct labor hours The following cost estimates were available at the beginning of the year. Use these estimates to determine total estimated manufacturing overhead during the year: 52,000.00 Production supervisor's salary per week (use 52 weeks in a year) Monthly rent 8,112.00 Utilities expense per quarter 2,704.00 Cost per pencil (useful life of each pencil is 20 hours) 200.00 Cost per scissors (useful life of each pair of scissors is 80 hours) 2,975.00 2,480.00 Cost per ruler (usefule life of each ruler is 50 hours) Cost of glue (per quilt) 0.62 12,400.00 Total Estimated Manufacturing Overhead $ 80,871.00 B. Calculate the Predetermined Overhead (PDOH) rate using direct labor hours (DLH) as the cost driver during the year to allocate manufacturing overhead to jobs and Work In Process Inventory: PDOH C. Complete the following job cost sheet for the WVU themed quilts: Job Cost Sheet Direct Materials Sheets Cost per Sheet $ 2.00 4.00 4.00 A. White material Blue material Yellow material 20,000 2,000 3 6,000 Amount $1,000 $ 676 676 2 119 62 Total Estimate for Year per DLH #N/A #N/A #N/A #N/A #N/A #N/A #N/A AN/A #N/A #N/A #N/A #N/A #N/A #N/A #N/A

FINANCIAL ACCOUNTING
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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I need help with b please. 

# Manufacturing Cost Analysis ## Employee Overview ### Each Role is Represented By: - **Supervisor** - **Measurer** (uses the pencil and ruler) - **Cutter** (uses the scissors) - **Assembler** (uses the glue) ## WVU Bookstore Special Order (Actual Results) - **Number of Quilts Made**: 15 - **Sheets of Material Used**: - White: 16 - Yellow: 24 - Blue: 29 ## Production Estimates for the Coming Year - **Total Quilts to be Produced**: 20,000 - **Total Manufacturing Hours Available per Laborer**: 2,000 - **Total Direct Laborers**: 3 - **Total Direct Labor Hours**: 6,000 ## Estimated Costs for the Year ### Cost Categories: 1. **Production Supervisor’s Salary per Week**: - Weekly Salary: $1,000 - Annual Estimate: $52,000.00 2. **Monthly Rent**: - Monthly Estimate: $676 - Annual Estimate: $8,112.00 3. **Utilities Expense per Quarter**: - Quarterly Estimate: $676 - Annual Estimate: $2,704.00 4. **Cost per Pencil**: - Unit Cost: $2 - Annual Estimate: $200.00 (useful life of each pencil is 20 hours) 5. **Cost per Scissors**: - Unit Cost: $119 - Annual Estimate: $2,975.00 (useful life of each pair of scissors is 80 hours) 6. **Cost per Ruler**: - Unit Cost: $62 - Annual Estimate: $2,480.00 (useful life of each ruler is 50 hours) 7. **Cost of Glue (per quilt)**: - Unit Cost: $0.62 - Annual Estimate: $12,400.00 **Total Estimated Manufacturing Overhead**: $80,871.00 ## Calculation of Predetermined Overhead Rate (PDOH) Using direct labor hours (DLH) as the cost driver: \[ \text{PDOH Rate} = \frac{\text{Total Estimated Manufacturing Overhead}}{\text{Total Direct Labor Hours}} = \frac{80,871.00}{6,000
Transcribed Image Text:# Manufacturing Cost Analysis ## Employee Overview ### Each Role is Represented By: - **Supervisor** - **Measurer** (uses the pencil and ruler) - **Cutter** (uses the scissors) - **Assembler** (uses the glue) ## WVU Bookstore Special Order (Actual Results) - **Number of Quilts Made**: 15 - **Sheets of Material Used**: - White: 16 - Yellow: 24 - Blue: 29 ## Production Estimates for the Coming Year - **Total Quilts to be Produced**: 20,000 - **Total Manufacturing Hours Available per Laborer**: 2,000 - **Total Direct Laborers**: 3 - **Total Direct Labor Hours**: 6,000 ## Estimated Costs for the Year ### Cost Categories: 1. **Production Supervisor’s Salary per Week**: - Weekly Salary: $1,000 - Annual Estimate: $52,000.00 2. **Monthly Rent**: - Monthly Estimate: $676 - Annual Estimate: $8,112.00 3. **Utilities Expense per Quarter**: - Quarterly Estimate: $676 - Annual Estimate: $2,704.00 4. **Cost per Pencil**: - Unit Cost: $2 - Annual Estimate: $200.00 (useful life of each pencil is 20 hours) 5. **Cost per Scissors**: - Unit Cost: $119 - Annual Estimate: $2,975.00 (useful life of each pair of scissors is 80 hours) 6. **Cost per Ruler**: - Unit Cost: $62 - Annual Estimate: $2,480.00 (useful life of each ruler is 50 hours) 7. **Cost of Glue (per quilt)**: - Unit Cost: $0.62 - Annual Estimate: $12,400.00 **Total Estimated Manufacturing Overhead**: $80,871.00 ## Calculation of Predetermined Overhead Rate (PDOH) Using direct labor hours (DLH) as the cost driver: \[ \text{PDOH Rate} = \frac{\text{Total Estimated Manufacturing Overhead}}{\text{Total Direct Labor Hours}} = \frac{80,871.00}{6,000
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