Answered step by step
Verified Expert Solution
Question
1 Approved Answer
1. Predetermined OH rate for Machining (round to 2 decimal places) 2. Predetermined OH rate for Customizing (round to 2 decimal places) 3. Total Amount
1. Predetermined OH rate for Machining (round to 2 decimal places)
2. Predetermined OH rate for Customizing (round to 2 decimal places)
3. Total Amount of OH applied to job K369 through both departments
Bulla Corporation has two production departments, Machining and Customizing. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Machining Department's predetermined overhead rate is based on machine-hours and the Customizing Department's predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates: Machining Customizing Machine-hours 16,000 17,000 Direct labor-hours 3000 4000 Total fixed manufacturing overhead cost $ 70,400 $ 85,000 Variable manufacturing overhead per machine-hour 3.00 Variable manufacturing overhead per direct labor-hour $ 6.00 During the current month the company started and finished Job K369. The following data were recorded for this job: Job K369: Machining Customizing Machine-hours 70 20 Direct labor-hours 40 80Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started