Job order costing: Job order costing is applied to the businesses which manufactured the product or provide the services according to the client’s order. As its names suggest, Job order costing is costing done for a particular job. Predetermined Overhead allocation rate: The Predetermined Overhead allocation rate is used to allocate the manufacturing overhead over the jobs. Predetermined Overhead allocation rate is calculated by dividing the Total Estimated overhead cost by the Total Estimated allocation base. The formula to calculate the Predetermined Overhead allocation rate is as follows: P r e d e t e r m i n e d O v e r h e a d a l l o c a t i o n r a t e = T o t a l E s t i m a t e d o v e r h e a d c o s t T o t a l E s t i m a t e d a l l o c a t i o n b a s e Requirement-1: The Direct Labor rate and Predetermined Overhead allocation rate for the year 2018

Question

Want to see the full answer?

Answer 1

Question

Chapter 19, Problem P19.33APGA

To determine

Concept Introduction:

Job order costing:

Job order costing is applied to the businesses which manufactured the product or provide the services according to the client’s order. As its names suggest, Job order costing is costing done for a particular job.

Predetermined Overhead allocation rate:

The Predetermined Overhead allocation rate is used to allocate the manufacturing overhead over the jobs. Predetermined Overhead allocation rate is calculated by dividing the Total Estimated overhead cost by the Total Estimated allocation base.

The formula to calculate the Predetermined Overhead allocation rate is as follows:

$P r e d e t e r m i n e d O v e r h e a d a l l o c a t i o n r a t e = \frac{T o t a l E s t i m a t e d o v e r h e a d c o s t}{T o t a l E s t i m a t e d a l l o c a t i o n b a s e}$

Requirement-1:

The Direct Labor rate and Predetermined Overhead allocation rate for the year 2018

To determine

Requirement -2:

The total cost for each Job

To determine

Requirement -3:

The fees to be charged from each client in order to earn profit equal to 50% of service revenue

To determine

Requirement -4:

To indicate: The reason of assignment of cost to jobs

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Students have asked these similar questions

Get correct solution this financial accounting question

Choice best answer

General Accounting

Answer 2

Question

Chapter 19, Problem P19.33APGA

To determine

Concept Introduction:

Job order costing:

Job order costing is applied to the businesses which manufactured the product or provide the services according to the client’s order. As its names suggest, Job order costing is costing done for a particular job.

Predetermined Overhead allocation rate:

The Predetermined Overhead allocation rate is used to allocate the manufacturing overhead over the jobs. Predetermined Overhead allocation rate is calculated by dividing the Total Estimated overhead cost by the Total Estimated allocation base.

The formula to calculate the Predetermined Overhead allocation rate is as follows:

$P r e d e t e r m i n e d O v e r h e a d a l l o c a t i o n r a t e = \frac{T o t a l E s t i m a t e d o v e r h e a d c o s t}{T o t a l E s t i m a t e d a l l o c a t i o n b a s e}$

Requirement-1:

The Direct Labor rate and Predetermined Overhead allocation rate for the year 2018

To determine

Requirement -2:

The total cost for each Job

To determine

Requirement -3:

The fees to be charged from each client in order to earn profit equal to 50% of service revenue

To determine

Requirement -4:

To indicate: The reason of assignment of cost to jobs

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 3

Question

Chapter 19, Problem P19.33APGA

To determine

Concept Introduction:

Job order costing:

Job order costing is applied to the businesses which manufactured the product or provide the services according to the client’s order. As its names suggest, Job order costing is costing done for a particular job.

Predetermined Overhead allocation rate:

The Predetermined Overhead allocation rate is used to allocate the manufacturing overhead over the jobs. Predetermined Overhead allocation rate is calculated by dividing the Total Estimated overhead cost by the Total Estimated allocation base.

The formula to calculate the Predetermined Overhead allocation rate is as follows:

$P r e d e t e r m i n e d O v e r h e a d a l l o c a t i o n r a t e = \frac{T o t a l E s t i m a t e d o v e r h e a d c o s t}{T o t a l E s t i m a t e d a l l o c a t i o n b a s e}$

Requirement-1:

The Direct Labor rate and Predetermined Overhead allocation rate for the year 2018

To determine

Requirement -2:

The total cost for each Job

To determine

Requirement -3:

The fees to be charged from each client in order to earn profit equal to 50% of service revenue

To determine

Requirement -4:

To indicate: The reason of assignment of cost to jobs

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 4

Question

Chapter 19, Problem P19.33APGA

To determine

Concept Introduction:

Job order costing:

Job order costing is applied to the businesses which manufactured the product or provide the services according to the client’s order. As its names suggest, Job order costing is costing done for a particular job.

Predetermined Overhead allocation rate:

The Predetermined Overhead allocation rate is used to allocate the manufacturing overhead over the jobs. Predetermined Overhead allocation rate is calculated by dividing the Total Estimated overhead cost by the Total Estimated allocation base.

The formula to calculate the Predetermined Overhead allocation rate is as follows:

$P r e d e t e r m i n e d O v e r h e a d a l l o c a t i o n r a t e = \frac{T o t a l E s t i m a t e d o v e r h e a d c o s t}{T o t a l E s t i m a t e d a l l o c a t i o n b a s e}$

Requirement-1:

The Direct Labor rate and Predetermined Overhead allocation rate for the year 2018

To determine

Requirement -2:

The total cost for each Job

To determine

Requirement -3:

The fees to be charged from each client in order to earn profit equal to 50% of service revenue

To determine

Requirement -4:

To indicate: The reason of assignment of cost to jobs

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 5

Chapter 19, Problem P19.33APGA

To determine

Concept Introduction:

Job order costing:

Job order costing is applied to the businesses which manufactured the product or provide the services according to the client’s order. As its names suggest, Job order costing is costing done for a particular job.

Predetermined Overhead allocation rate:

The Predetermined Overhead allocation rate is used to allocate the manufacturing overhead over the jobs. Predetermined Overhead allocation rate is calculated by dividing the Total Estimated overhead cost by the Total Estimated allocation base.

The formula to calculate the Predetermined Overhead allocation rate is as follows:

$P r e d e t e r m i n e d O v e r h e a d a l l o c a t i o n r a t e = \frac{T o t a l E s t i m a t e d o v e r h e a d c o s t}{T o t a l E s t i m a t e d a l l o c a t i o n b a s e}$

Requirement-1:

The Direct Labor rate and Predetermined Overhead allocation rate for the year 2018

To determine

Requirement -2:

The total cost for each Job

To determine

Requirement -3:

The fees to be charged from each client in order to earn profit equal to 50% of service revenue

To determine

Requirement -4:

To indicate: The reason of assignment of cost to jobs

Answer 6

Chapter 19, Problem P19.33APGA

To determine

Concept Introduction:

Job order costing:

Job order costing is applied to the businesses which manufactured the product or provide the services according to the client’s order. As its names suggest, Job order costing is costing done for a particular job.

Predetermined Overhead allocation rate:

The Predetermined Overhead allocation rate is used to allocate the manufacturing overhead over the jobs. Predetermined Overhead allocation rate is calculated by dividing the Total Estimated overhead cost by the Total Estimated allocation base.

The formula to calculate the Predetermined Overhead allocation rate is as follows:

$P r e d e t e r m i n e d O v e r h e a d a l l o c a t i o n r a t e = \frac{T o t a l E s t i m a t e d o v e r h e a d c o s t}{T o t a l E s t i m a t e d a l l o c a t i o n b a s e}$

Requirement-1:

The Direct Labor rate and Predetermined Overhead allocation rate for the year 2018

Answer 7

Chapter 19, Problem P19.33APGA

To determine

Concept Introduction:

Job order costing:

Job order costing is applied to the businesses which manufactured the product or provide the services according to the client’s order. As its names suggest, Job order costing is costing done for a particular job.

Predetermined Overhead allocation rate:

The Predetermined Overhead allocation rate is used to allocate the manufacturing overhead over the jobs. Predetermined Overhead allocation rate is calculated by dividing the Total Estimated overhead cost by the Total Estimated allocation base.

The formula to calculate the Predetermined Overhead allocation rate is as follows:

$P r e d e t e r m i n e d O v e r h e a d a l l o c a t i o n r a t e = \frac{T o t a l E s t i m a t e d o v e r h e a d c o s t}{T o t a l E s t i m a t e d a l l o c a t i o n b a s e}$

Requirement-1:

The Direct Labor rate and Predetermined Overhead allocation rate for the year 2018

Answer 8

To determine

Requirement -2:

The total cost for each Job

Answer 9

To determine

Requirement -2:

The total cost for each Job

Answer 10

To determine

Requirement -3:

The fees to be charged from each client in order to earn profit equal to 50% of service revenue

Answer 11

To determine

Requirement -3:

The fees to be charged from each client in order to earn profit equal to 50% of service revenue

Answer 12

To determine

Requirement -4:

To indicate: The reason of assignment of cost to jobs

Answer 13

To determine

Requirement -4:

To indicate: The reason of assignment of cost to jobs

Answer 14

Expert Solution & Answer

Answer 15

Expert Solution & Answer

Answer 16

Want to see the full answer?

Check out a sample textbook solution

See solution

Answer 17

Ch. 19 - Prob. 1QC Ch. 19 - When a manufacturing company uses direct...Ch. 19 - When a manufacturing company uses indirect...Ch. 19 - When a manufacturing company uses direct labor, it...Ch. 19 - What is Gell's predetermined overhead allocation...Ch. 19 - What is Gell's actual manufacturing overhead cost?...Ch. 19 - How much manufacturing overhead would Gell...Ch. 19 - What entry would Gell make to adjust the...Ch. 19 - A manufacturing company completed work on a job....Ch. 19 - Prob. 10QC

Concept explainers

Videos

Requirement -2:

The total cost for each Job

Requirement -3:

The fees to be charged from each client in order to earn profit equal to 50% of service revenue

Requirement -4:

To indicate: The reason of assignment of cost to jobs

Want to see the full answer?

Chapter 19 Solutions

Concept explainers

Videos

Requirement -2: The total cost for each Job

Requirement -3: The fees to be charged from each client in order to earn profit equal to 50% of service revenue

Requirement -4: To indicate: The reason of assignment of cost to jobs

Want to see the full answer?

Chapter 19 Solutions

Requirement -2:

The total cost for each Job

Requirement -3:

The fees to be charged from each client in order to earn profit equal to 50% of service revenue

Requirement -4:

To indicate: The reason of assignment of cost to jobs