"Blast it!" said David Wilson, president of Teledex Company. "We've just lost the bid on the Koopers job by $10,100. It seems we're either too high to get the job or too low to make any money on half the jobs we bid." Teledex Company manufactures products to customers' specifications and operates a job-order costing system. Manufacturing overhead cost is applied to jobs on the basis of direct labor cost. The following estimates were made at the beginning of the year: Direct labor Manufacturing overhead Fabricating $299,000 $538,200 Department Machining Assembly $199,000 $400,000 $796,000 $96,000 Total plant $898,000 $1,430,200. Jobs require varying amounts of work in the three departments. The Koopers job, for example, would have required manufacturing costs in the three departments as follows: Direct materials Direct labor Manufacturing overhead Fabricating $11,900 $6,600 Department Machining Assembly $900 $5,700 $1,700 $13,000 Total plant $18,500 $21,300 The company uses a plantwide overhead rate to apply manufacturing overhead cost to jobs. b. Determine the amount of manufacturing overhead cost that would have been applied to the Koopers job. (Round your answer to the nearest dollar amount. Omit the "S" sign in your response.) Manufacturing overhead cost b. Compute the underapplied or overapplied overhead for the year, assuming that departmental overhead rates are used. (Input all amounts as positive values. Omit the "S" sign in your response.) S 18800 Fabricating Machining Assembly 15000 Overapplied Overapplied Underapplied (Click to select) overhead cost overhead cost overhead cost overhead cost Total Plant "Blast it!" said David Wilson, president of Teledex Company. "We've just lost the bid on the Koopers job by $10,100. It seems we're either too high to get the job or too low to make any money on half the jobs we bid." Teledex Company manufactures products to customers' specifications and operates a job-order costing system. Manufacturing overhead cost is applied to jobs on the basis of direct labor cost. The following estimates were made at the beginning of the year: Direct labor Manufacturing overhead Fabricating $299,000 $538,200 Department Machining Assembly $199,000 $400,000 $796,000 $96,000 Total plant $898,000 $1,430,200. Jobs require varying amounts of work in the three departments. The Koopers job, for example, would have required manufacturing costs in the three departments as follows: Direct materials Direct labor Manufacturing overhead Fabricating $11,900 $6,600 Department Machining Assembly $900 $5,700 $1,700 $13,000 Total plant $18,500 $21,300 The company uses a plantwide overhead rate to apply manufacturing overhead cost to jobs. b. Determine the amount of manufacturing overhead cost that would have been applied to the Koopers job. (Round your answer to the nearest dollar amount. Omit the "S" sign in your response.) Manufacturing overhead cost b. Compute the underapplied or overapplied overhead for the year, assuming that departmental overhead rates are used. (Input all amounts as positive values. Omit the "S" sign in your response.) S 18800 Fabricating Machining Assembly 15000 Overapplied Overapplied Underapplied (Click to select) overhead cost overhead cost overhead cost overhead cost Total Plant
