Question
Bens Company used a predetermined overhead rate based on an estimate of 25,000 direct labor hours to be worked during the year and an estimated
Bens Company used a predetermined overhead rate based on an estimate of 25,000 direct labor hours to be worked during the year and an estimated $80,000 of manufacturing overhead.Actual overhead cost and activity during the year were:
Actual manufacturing overhead cost incurred -$77,000
Actual direct labor hours worked24.000
- Compute the predetermined OH rate.
- Compute the OH applied. C. Compute the over or under applied OH.d. Prepare the journal entry to close the OH to COGS Show all work.
The doll corporation uses a process costing system. Consider the following data for Dept. A UNITS:
W-1-P Nov. 1: 100 units,100% completed for direct material, 40% completed for conversion costs
Started in November: 400 units
Transferred to Dept B: 480 units
W-1-P Nov. 30: 20 units,100% completed for direct material, 50% completed for conversion costs
COSTS:
W-1-P Nov. 1: Direct Materials+Conversion= $4,000+1,110= $5,110
Costs added in November: Direct Material+Conversion: $22,000+ 18,000= 40,000
Total costs to account for:$45,110
Use the WEIGHTED AVERAGE method. Show all work
- Calculate the equivalent units of production for DM and conversion.
- Compute the cost per equivalent unit for DM and conversion.
- Assign costs to units transferred out and ending work-in-process.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started