8 Ints Skipped eflook 14 Print ferences Landen Corporation uses job-order costing. At the beginning of the year, it made the following estimates: Direct labor-hours required to support estimated production Machine-hours required to support estimated production Fixed manufacturing overhead cost Variable manufacturing overhead cost per direct labor-hour Variable manufacturing overhead cost per machine-hour 65,000 32,500 $ 195,000 $ 1.20 $ 2.40 During the year, Job 550 was started and completed. The following information pertains to this job: Direct materials Direct labor cost Direct labor-hours Machine-hours Required: $ 250 $ 318 15 5 8-1 1. Assume Landen has historically used a plantwide predetermined overhead rate with direct labor-hours as the allocation base. Under this approach: a. Compute the plantwide predetermined overhead rate. b. Compute the total manufacturing cost of Job 550. c. If Landen uses a markup percentage of 200% of its total manufacturing cost, what selling price would it establish for Job 550? 2. Assume Landen's controller believes that machine-hours is a better allocation base than direct labor-hours. Under this approach: a. Compute the plantwide predetermined overhead rate. b. Compute the total manufacturing cost of Job 550. c. If Landen uses a markup percentage of 200% of its total manufacturing cost, what selling price would it establish for Job 550? Chapter 2 Homework Seve 10 8 Direct materials points eBook Print References Direct labor cost Direct labor-hours Machine-hours Required: $250 $318 15 5 1. Assume Landen has historically used a plantwide predetermined overhead rate with direct labor-hours as the allocation base. Under this approach: a. Compute the plantwide predetermined overhead rate. b. Compute the total manufacturing cost of Job 550. c. If Landen uses a markup percentage of 200% of its total manufacturing cost, what selling price would it establish for Job 550? 2. Assume Landen's controller believes that machine-hours is a better allocation base than direct labor-hours. Under this approach a. Compute the plantwide predetermined overhead rate. b. Compute the total manufacturing cost of Job 550. c. If Landen uses a markup percentage of 200% of its total manufacturing cost, what selling price would it establish for Job 550 Note: Round your intermediate calculations to 2 decimal places. Round your Predetermined Overhead Rate answers to 2 decimal places and all other answers to the nearest whole dollar. 1. Direct labor-hours: 1a. Predetermined overhead rate $ 4.20 per DLH 1b. Total manufacturing cost of Job 550 1c. Selling price 2. Machine-hours 2a. Predetermined overhead rate 2b. Total manufacturing cost of Job 550 2c. Selling price per MH 8-2 Help