Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Browning Company uses a job-order costing system and applies manufacturing overhead to jobs using a predetermined overhead rate based on the use of machine hours.

image text in transcribedimage text in transcribedimage text in transcribedimage text in transcribed

Browning Company uses a job-order costing system and applies manufacturing overhead to jobs using a predetermined overhead rate based on the use of machine hours. Selected information from the current year's operating budget is as follows: *manufacturing overhead: $450,000 *direct labor hours: 15,000 hours *machine hours: 25,000 hours In November, Job #A15 was completed. Actual direct materials cost for the job totaled $12,000. There were 700 actual labor hours worked on the job at a rate of $15.00 per hour. There were 650 machine hours used for Job #A15. The company sold the 200 units produced from this job at an average selling price of $400 per unit. The total product cost that appears on the job cost sheet is O $11,700 O $22,500 O none of these $35,100 O $34,200 For this question, assume that your answer to question #52 above is $50,000. Determine the gross profit rate earned from the sale of all units manufactured in Job #A15: 45.5% O 62.5% 42.9% 0 37.5% none of these For this question, assume that the predetermined overhead rate (POHR) is $20 per machine hour. At the end of the year, it was determined that the company actually worked 16,000 direct labor hours, actually used 25,500 machine hours for the year and incurred $470,000 in actual manufacturing overhead costs. Determine the underapplied or overapplied manufacturing overheard for the year. Onone of these O $40,000 overapplied 0 $30,000 overapplied O $60,000 overapplied O $40,000 underapplied

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

The Politics Of Internal Auditing

Authors: Dr. Larry Rittenberg, Patty Miller

1st Edition

0894139053, 978-0894139055

More Books

Students also viewed these Accounting questions

Question

State the uses of job description.

Answered: 1 week ago

Question

Explain in detail the different methods of performance appraisal .

Answered: 1 week ago

Question

c. What groups were least represented? Why do you think this is so?

Answered: 1 week ago

Question

7. Describe phases of multicultural identity development.

Answered: 1 week ago