Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

8) Tally Corporation has two production departments, Milling and Customizing. The company uses a job-order costing system and computes a predetermined overhead rate in

image text in transcribed

8) Tally Corporation has two production departments, Milling and Customizing. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Milling Department's predetermined overhead rate is based on machine-hours and the Customizing Department's predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates: Milling Customizing Machine-hours Direct labor-hours 17,000 1,000 12,000 9,000 Total fixed manufacturing overhead cost S 112,200 81,000 Variable manufacturing overhead per machine-hour S 1.70 Variable manufacturing overhead per direct labor-hour During the current month the company started and finished Job T898. The following data were recorded for this job: Job T898: Machine-hours Direct labor-hours Milling Customizing 80 30 20 50 The estimated total manufacturing overhead for the Milling Department is closest to: A) $240,833 B) S141,100 C) $28,900 D) $112.200 4.30

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Human Resource Management

Authors: Robert L. Mathis, John H. Jackson

13th Edition

053845315X, 978-0538453158

More Books

Students also viewed these Accounting questions