Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

At the beginning of the year, Learer Company's manager estimated total direct labor cost assuming 35 persons working an average of 2,000 hours each at

image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
At the beginning of the year, Learer Company's manager estimated total direct labor cost assuming 35 persons working an average of 2,000 hours each at an average wage rate of $40 per hour. The manager also estimated the following manufacturing overhead costs for the year Indirect labor Factory supervision Rent on factory building Factory utilities Pactory insurance expired Depreciation-Pactory equipment Repairs expense-Pactory equipment Factory supplies used Miscellaneous production costs Total estimated overhead costs $329,200 354,000 150,000 98,000 78.000 756,000 70,000 78.800 46,000 $1,960,000 At year-end, records show the company incurred $1,821,000 of actual overhead costs. It completed and sold five jobs with the following direct labor costs: Job 201, $614,000; Job 202, $573,000; Job 203, $308,000; Job 204. $726,000; and Job 205, $324,000. In addition, Job 206 is in process at the end of the year and had been charged $27,000 for direct labor. No jobs were in process at the beginning of the year. The company's predetermined overhead rate is based on direct labor cost. - Vi 4 | | | Laptu My Citation list Citation Form New, Used Jeep Chapter 19 Homework (graded) Saved Help Save & 7 w WavUJUULUVI Ch Complete this question by entering your answers in the tabs below. 1.48 points Reg 1A Reg 1B Req 1C Reg 2 Skipped Determine the predetermined overhead rate for the year. eBook Choose Numerator: Predetermined overhead rate 1 Choose Denominator: Print Predetermined overhead rate Predetermined overhead rate 0 References Req 18> Check my work 7. VECUMULUI JUU JUU ULICI VI uyu. Complete this question by entering your answers in the tabs below. 1.48 points Reg 1A Reg 18 Reg 10 Skipped Reg 2 Determine the total overhead cost applied to each of the six Jobs during the year. eBook Print References Job No. Direct Labor Overhead cost applied 201 $ 614,000 202 573,000 203 308,000 204 726,000 205 324,000 206 27,000 Total $ 2,572,000 $ My Citation list Citation Form New, Used Jeep Chapter 19 Homework (graded) APAZ Saved Help Save & Exit Sul 7. Check my wol Complete this question by entering your answers in the tabs below. Req 1A Reg 1B Reg 1C 1.48 points Reg 2 Determine the over- or underapplied overhead at the year-end. Skipped Factory Overhead Book Print References 0 7. Journal entry worksheet

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_2

Step: 3

blur-text-image_3

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

Modern Management Control Systems Text And Cases

Authors: Kenneth A. Merchant

1st Edition

0135541557, 978-0135541555

More Books

Students also viewed these Accounting questions

Question

How do forensic assessments diff er from therapeutic assessments?

Answered: 1 week ago

Question

Is having a positive self-concept really all that important?

Answered: 1 week ago