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17-20 help please with breakdown 17)Corp uses a normal cost system and had the following data available for 2010 : Beginning direct materials inventory 26,000
17-20 help please with breakdown
17)Corp uses a normal cost system and had the following data available for 2010 : Beginning direct materials inventory 26,000 Beginning WIP inventory 64,000 Beginning finished goods inventory 58,000 Overhead application rate, as a percent of direct-labor costs 125 percent The ending balance of work-in-process (WIP) inventory is 18)The ending balance of finished goods (FG) inventory is 19)A local firm employs 20 full-time professionals. The budgeted annual compensation per employee is $81,000. The budgeted average chargeable time is 500 hours per client annually. All professional labor costs are included in a single direct-cost category and are allocated to jobs on a per-hour basis. Other costs are included in a single indirect-cost pool, allocated according to professional labor-hours. Budgeted indirect costs for the year are $787,500. If the firm expects to have 80 clients during the coming year, what is the direct labor cost rate per hour: 20)What is the indirect-cost allocation rate for the firm (this is conceptually similar to the O/H allocation rate for a manufacturer) Step by Step Solution
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