Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

ABC Company uses a job-order costing system. The company made the following estimates at the start of the year: Direct labor hours (DLHS) for

image text in transcribed

ABC Company uses a job-order costing system. The company made the following estimates at the start of the year: Direct labor hours (DLHS) for estimated production: 120,000 Machine hours (MHS) for estimated production: 60,000 Fixed anufacturing costs: $480,000 Variable manufacturing overhead per DLH: $3 Variable manufacturing overhead per MH: $6 Job A55 was started and completed during the year. The following information relates to this job: Direct materials: $150 Direct labor cost $450 Direct labor hours 20 Machine hours 12 Required (Show all calculations/working in the answer boxes): A) If the company uses a plantwide predetermined overhead rate based on direct labor hours, calculate this predetermined overhead rate. What is the total manufacturing cost of job A55? B) If the company uses a plantwide predetermined overhead rate based on machine hours, calculate this predetermined overhead rate. What is the total manufacturing cost of job A55? Q Search TH 2002

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

Survey of Accounting

Authors: Carl S Warren

5th Edition

9780538489737, 538749091, 538489731, 978-0538749091

More Books

Students also viewed these Accounting questions