c D E F G A B 1 Chapter 2: Applying Excel 2 3 Data 4 Markup on job cost 75% 5 5 Department 7 Milling Assembly 8 Machine-hours 60.000 3,000 Direct labor-hours 8,000 80,000 o Total fixed manufacturing overhead cost $390,000 $500,000 1 Variable manufacturing overhead per machine-hour $2.00 2 Variable manufacturing overhead per direct labor-hour $3.75 3 4 Cost summary for Job 407 Department 5 Milling Assembly 6 Machine-hours 90 4 7 Direct labor-hours 5 20 8 Direct materials $800 $370 9 Direct labor cost $70 $280 C0 1 Enter a formula into each of the cells marked with a ? below -2 3 Step 1: Calculate the estimated total manufacturing overhead cost for each department -4 Milling Assembly 5 Total fixed manufacturing overhead cost ? ? 6 Variable manufacturing overhead per machine-hour or direct labor-hour ? ? 7 Total machine-hours or direct labor-hours ? ? 8 Total variable manufacturing overhead ? ? -9 Total manufacturing overhead ? ? 50 1 Step 2: Calculate the predetermined overhead rate in each department 2 Milling Assembly otal manufacturing overhead ? ? 4 Total machine-hours or direct labor-hours ? 2 5 Predetermined overhead rate per machine-hour or direct labor-hour ? ? 6 7 Step 3: Calculate the amount of overhead applied from both departments to Job 407 -8 Milling Assembly 9 Predetermined overhead rate per machine-hour or direct labor-hour ? ? 0 Machine-hours or direct labor-hours for the job 2 ? -1 Manufacturing overhead applied 2 ? -2 3 Step 4: Calculate the total job cost for Job 407 14 Milling Assembly 5 Direct materials ? ? ? 26 Direct labor cost ? 2 ? 7 Manufacturing overhead applied ? ? ? -8 Total cost of Job 407 ? 19 O Step 5: Calculate the selling price for Job 407 1 Total cost of Job 407 ? 2 Markup 2 3 Selling price of Job 407 ? 4 5 6 7 8 9 50 Total Required information Chapter 2: Applying Excel This Excel worksheet relates to the Dickson Company example that is summarized in Exhibit 2-5 Chapter 2: Applying Excel: Exercise (Part 2 of 2) 2. Change the total fixed manufacturing overhead cost for the Milling Department in Data area back to $390,000, keeping all of the other data the same as in the original example. Consider a new job, Job 408, with the following characteristics: B 1 Chapter 2: Applying Excel 2 3 Cost summary for Job 408 4 Department Milling Assembly 90 5 6 40 Machine-hours Direct labor-hours Direct materials cost Direct labor cost 7 $ 6 800 120 $ 420 8 $ $ 680 In your worksheet, enter this new data in the cells for Job 407. What is the new selling price for Job 408? (Round your final answer to 2 decimal places.) Selling price for Job 408 3. Without changing the data for the job from requirement 2 above, what is the selling price for Job 408 if the total number of machine- hours in the Assembly Department increases from 3,000 machine-hours to 6,000 machine-hours? (Round your final answer to 2 decimal places.) Selling price for Job 408 4. Restore the total number of machine-hours in the Assembly Department to 3,000 machine-hours. And keep the job data the same as it was in Requirement 2. What is the selling price for Job 408 if the total number of direct labor-hours in the Assembly Department decreases from 80,000 direct labor-hours to 50,000 direct labor-hours? (Round your final answer to 2 decimal places.) Selling price for Job 408
