2 winder Knotter and Nole in a small tow firm that has 10 partners and 10 support people. The firm employs a job order costing wstom to accumulate costs chargeable to each client and it is organized into two departments-the Research and Documents Department and the Litigation Department The firm uses predetermined overhead rates to charge the costs of these departments to its clients. At the beginning of the current year, the firm's management made the following estimates for the year Department Research-hours Direct lawyer-hours Materials and supplies Direct layer cost Departmental overhead cost Research and Document Litigation 20,900 9,450 16,900 $ 19,800 55,100 $444,150 $845,000 5731,500 $33,000 The predetermined overhead rate in the Research and Documents Department is based on research-hours, and the rate in the Litigation Department is based on direct lawyer cost The costs charged to each client are made up of three elements, materials and supplies used direct lawyer costs incurred, and an applied amount of overhead from each department in which work is performed on the case. Case 618-3 was initiated on February 10 and completed on June 30. During this period the following costs and time were recorded on the case 22 applied amount or overhead from each department in which work is performed on the case Case 618-3 was initiated on February 10 and completed on June 30. During this period the following costs and time were recorded on the case Department Hesearch and Documents Litigation Research-hours 27 Direct lawyer hours 10 51 Materials and supplies 5 60 5 0 Direct layer cost S810 $2,550 Required: 1. Compute the predetermined overhead rate used during the year in the Research and Documents Department Compute the rate used in the Litigation Department Predetermined Overhead Rate Research & Documents department per hour Litigation department % 2. Compute the total overhead cost apped to Case 618-3 22 Total 3. What is the total cost charged to Cose 618 37 Show computations by department and in total for the case Department Research & Documents Litigation Materials and supplies Directorney cost Overhead cost applied Total cost 4. At the end of the year, the firm's records revealed the following actual cost and operating data for handied during the yoor Doc Research-hours Direct ler-hours Materials and supplies Direct layer cost Departen al overhead cost 8,540 $ 20,700 5.427.000 5797,200 15,810 $6,000 $764,150 5316,200 Determine the amount of underapphed or overapplied overhead cost in each department for the year Research & Documents department Ligation department 2 winder Knotter and Nole in a small tow firm that has 10 partners and 10 support people. The firm employs a job order costing wstom to accumulate costs chargeable to each client and it is organized into two departments-the Research and Documents Department and the Litigation Department The firm uses predetermined overhead rates to charge the costs of these departments to its clients. At the beginning of the current year, the firm's management made the following estimates for the year Department Research-hours Direct lawyer-hours Materials and supplies Direct layer cost Departmental overhead cost Research and Document Litigation 20,900 9,450 16,900 $ 19,800 55,100 $444,150 $845,000 5731,500 $33,000 The predetermined overhead rate in the Research and Documents Department is based on research-hours, and the rate in the Litigation Department is based on direct lawyer cost The costs charged to each client are made up of three elements, materials and supplies used direct lawyer costs incurred, and an applied amount of overhead from each department in which work is performed on the case. Case 618-3 was initiated on February 10 and completed on June 30. During this period the following costs and time were recorded on the case 22 applied amount or overhead from each department in which work is performed on the case Case 618-3 was initiated on February 10 and completed on June 30. During this period the following costs and time were recorded on the case Department Hesearch and Documents Litigation Research-hours 27 Direct lawyer hours 10 51 Materials and supplies 5 60 5 0 Direct layer cost S810 $2,550 Required: 1. Compute the predetermined overhead rate used during the year in the Research and Documents Department Compute the rate used in the Litigation Department Predetermined Overhead Rate Research & Documents department per hour Litigation department % 2. Compute the total overhead cost apped to Case 618-3 22 Total 3. What is the total cost charged to Cose 618 37 Show computations by department and in total for the case Department Research & Documents Litigation Materials and supplies Directorney cost Overhead cost applied Total cost 4. At the end of the year, the firm's records revealed the following actual cost and operating data for handied during the yoor Doc Research-hours Direct ler-hours Materials and supplies Direct layer cost Departen al overhead cost 8,540 $ 20,700 5.427.000 5797,200 15,810 $6,000 $764,150 5316,200 Determine the amount of underapphed or overapplied overhead cost in each department for the year Research & Documents department Ligation department