1 Chapter 2: Applying Excel 2 3 Data 4 Markup on job cost 5 6 7 8 Machine-hours 9 Direct labor-hours 0 Total fixed manufacturing overhead cost 1 Variable manufacturing overhead per machine-hour 12 Variable manufacturing overhead per direct labor-hour 13 14 Cost summary for Job 408 15 16 Machine-hours 17 Direct labor-hours 18 Direct materials 19 Direct labor cost Milling 75% Department Assembly 60,000 3,000 8,000 80,000 $390,000 $2.00 $500,000 $3.75 Department Milling Assembly 40 10 2 6 $700 $360 $50 $150 20 21 Complete the yellow cell below: 22 23 Step 1: Calculate the estimated total manufacturing overhead cost for each department 24 Milling Assembly 25 Total fixed manufacturing overhead cost 26 Variable manufacturing overhead per machine-hour or direct labor-hour 27 Total machine-hours or direct labor-hours 28 Total variable manufacturing overhead 29 Total manufacturing overhead 30 B1 Step 2: Calculate the predetermined overhead rate in each department 32 B3 Total manufacturing overhead Milling Assembly 34 Total machine-hours or direct labor-hours 35 Predetermined overhead rate per machine-hour or direct labor-hour 86 37 Step 3: Calculate the amount of overhead applied from both departments to Job 408 88 Milling Assembly 39 Predetermined overhead rate per machine-hour or direct labor-hour 0 Machine-hours or direct labor-hours for the job 1 Manufacturing overhead applied 32 3 Step 4: Calculate the total job cost for Job 408 4 35 Direct materials 46 Direct labor cost 7 Manufacturing overhead applied 8 Total cost of Job 408 39 50 Step 5: Calculate the selling price for Job 408 51 Total cost of Job 408 52 Markup 53 Selling price of Job 408 64 Milling Assembly Total