Question
5) During March 2017, Alpha Corporation recorded $16,500 of costs related to factory overhead. Alpha's overhead application rate is based on direct labor hours. The
5) During March 2017, Alpha Corporation recorded $16,500 of costs related to factory overhead. Alpha's overhead application rate is based on direct labor hours. The preset formula for overhead application estimated that $15,000 would be incurred, and 10,000 direct labor hours would be worked. During March, 10,200 hours were actually worked. Use this information to determine (round & enter any final dollar answers to the nearest whole dollar):
1. the amount of factory overhead that was applied in March
2. the amount of factory overhead that was over or under applies
3. was the factory overhead was over applied or under applied
7) On May 21, 2017, Bravo Zulu worked 6 hours on Job A-1, and 2 hours on general "overhead activities." Bravo Zulu is paid $15 per hour. Overhead is applied based on $4 per direct labor hour. Additionally, on May 21 Job A-1 requisitioned and entered into production $30 of direct material. On May 21, Bravo Zulu, while working on Job A-1 used $7 of indirect material. Indirect material is included in the overhead application rate. Use this information to determine the total cost that should have been recorded in the Work in Process for Job A-1 on May 21?
8) Alpha Company has three employees (Tom, Dick, and Harry). Employee Tom worked 8 hours, divided equally between two jobs (Job A-1 & Job A-2). Employee Dick worked 6 hours, divided equally between three jobs (Job A-2, Job A-3, and Job A-4). Employee Harry worked 8 hours, divided equally between two jobs (Job A-3 and Job A-4). Employee Tom is paid $10 per hour, Employee Dick is paid $12 per hour, and Employee Harry is paid $15 per hour. How much direct labor cost is assigned to Job A-2?
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