Yancey Productions is a film studio that uses job-order costing. The company's direct materials include costumes and props. Its direct labor includes each film's actors, directors, and extras. The company's overhead costs include items such as utilities, depreciation of equipment, senior management salaries, and wages of maintenance workers. Yancey applies its overhead cost to films based on direct labor-dollars. At the beginning of the year, Yancey made the following estimates: Direct labor-dollars to support all productions Fixed overhead cost Variable overhead cost per direct labor-dollar Required: 1. Compute the predetermined overhead rate. $ 7,840,000 $ 4,704,000 $ 0.11 2. During the year, Yancey produced a film titled You Can Say That Again that incurred the following costs: Direct materials Direct labor cost $ 1,370,000 $ 2,352,000 Compute the total job cost for this particular film. Complete this question by entering your answers in the tabs given below. Required 1 Required 2 Compute the predetermined overhead rate. Note: Round your answer to 2 decimal places. Predetermined overhead rate per DL$
Yancey Productions is a film studio that uses job-order costing. The company's direct materials include costumes and props. Its direct labor includes each film's actors, directors, and extras. The company's overhead costs include items such as utilities, depreciation of equipment, senior management salaries, and wages of maintenance workers. Yancey applies its overhead cost to films based on direct labor-dollars. At the beginning of the year, Yancey made the following estimates: Direct labor-dollars to support all productions Fixed overhead cost Variable overhead cost per direct labor-dollar Required: 1. Compute the predetermined overhead rate. $ 7,840,000 $ 4,704,000 $ 0.11 2. During the year, Yancey produced a film titled You Can Say That Again that incurred the following costs: Direct materials Direct labor cost $ 1,370,000 $ 2,352,000 Compute the total job cost for this particular film. Complete this question by entering your answers in the tabs given below. Required 1 Required 2 Compute the predetermined overhead rate. Note: Round your answer to 2 decimal places. Predetermined overhead rate per DL$
Chapter1: Financial Statements And Business Decisions
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Transcribed Image Text:Yancey Productions is a film studio that uses job-order costing. The company's direct materials include costumes and props. Its direct
labor includes each film's actors, directors, and extras. The company's overhead costs include items such as utilities, depreciation of
equipment, senior management salaries, and wages of maintenance workers. Yancey applies its overhead cost to films based on
direct labor-dollars.
At the beginning of the year, Yancey made the following estimates:
Direct labor-dollars to support all productions
Fixed overhead cost
Variable overhead cost per direct labor-dollar
Required:
1. Compute the predetermined overhead rate.
$ 7,840,000
$ 4,704,000
$ 0.11
2. During the year, Yancey produced a film titled You Can Say That Again that incurred the following costs:
Direct materials
Direct labor cost
$ 1,370,000
$ 2,352,000
Compute the total job cost for this particular film.
Complete this question by entering your answers in the tabs given below.
Required 1 Required 2
Compute the predetermined overhead rate.
Note: Round your answer to 2 decimal places.
Predetermined overhead rate
per DL$
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