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6 Exercise 2-6 (Static) Job-Order Costing for a Service Company (L02-1, LO2-2, LO2-3] Tech Solutions is a consulting firm that uses a job order costing

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6 Exercise 2-6 (Static) Job-Order Costing for a Service Company (L02-1, LO2-2, LO2-3] Tech Solutions is a consulting firm that uses a job order costing system. Its direct motors consist of hardware and software that purchases and install on behalf of its clients. The firm's direct labor includes salaries of consultants that work at the client's job ste and its overhead consists of costs such as depreciation, and wance related to the office headquarters as well as the office supplies that are consumed serving clients Tech Solutions comptes its predetermined overhead early on the basis of direct labor hours. At the beginning of the year, estimated that 80.000 direct labor hours would be required for the periods estimated level of client service. The company estimated $680.000 of fixed overhead cost for the coming period and variable overhead of $0.50 per direct laborhout the fums actual overhead cost for the year was $692.000 and is actual total deect labor was 83.000 hours Required: 1. Compute the predetermined overeed rate 2 During the year Tech Solutions started and completed the Xavier Company engagement. The following information was available with respect to this job Het Direct materials Direct labor cost Direct labor-hours word $ 3,00 $ 21,000 Compute the totjob cost for the Xavier Company engagement Complete this question by entering your answers in the tabs below. Required 1 Required 2 Compute the total job cost for the Xavier Company engagement (Prey BE Next > ere to search o LI E a map 6. ped Direct materials Direct labor cost Direct labor-hours worked $ 38,000 $ 21,000 280 ook Compute the total job cost for the Xavier Company engagement int Complete this question by entering your answers in the tabs below. int Required 1 Required 2 Compute the predetermined overhead rate. ences Predetermined overhead rate per DLH Required 2 > Puey here to search TT oped Compute the total job cost for the Xavier Company engagement Complete this question by entering your answers in the tabs below. ok Required 1 Required 2 nt Compute the total job cost for the Xavier Company engagement. int Direct materials Direct labor Overhead applied Total manufacturing cost ences $ 0

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