2A: Predetermined overhead rates

Molding Department _____ per MH

Fabrication Department _____ per MH

2B: Total manufacturing costs

Job D-70 _____

Job C-200 _____

2C: Bid price

Job D-70 _____

Job C-200 _____

2D: Cost of goods sold = $3,430,400

Upton and Verlander Company uses a job-order costing system. Upton and Verlander has two manufacturing departments-Molding and Fabrication. Upton and Verlander provided the following estimates at the beginning of the year: Machine-hours Fixed manufacturing overhead costs Variable manufacturing overhead cost per machine-hour Molding Fabrication Total 29,000 39,000 68,000 $ 770,000 $260,000 $1,030,000 $ 5.90 $ 5.90 During the year, the company had no beginning or ending inventories and it started, completed, and sold only two jobs, Job D-70 and Job C-200. It provided the following information related to those two jobs: Job D-70: Direct materials cost Direct labor cost Machine-hours Molding Fabric on Total $ 372,000 $ 327,000 $ 699,000 $ 220,000 $ 170,000 $390,000 21,000 8,000 29,000 Job C-200: Direct materials cost Direct labor cost Machine-hours Molding Fabrication Total $ 250,000 $ 250,000 $500,000 $ 180,000 $ 230,000 $ 410,000 8,000 31,000 39,000 Upton and Verlander had no underapplied or overapplied manufacturing overhead during the year. 2. Assume Upton and Verlander uses departmental predetermined overhead rates based on machine-hours. a. Compute the departmental predetermined overhead rates. b. Compute the total manufacturing cost assigned to Job D-70 and Job C-200. c. If Upton and Verlander establishes bid prices that are 130% of total manufacturing costs, what bid prices would it have established for Job D-70 and Job C-200? d. What is Upton and Verlander's cost of goods sold for the year