C1. Machinex Parts Ltd. produces ignitions switches for Toyatam cars. The company allocates manufacturing overhead on a plant-wide basis based on the machine hours each job uses. The budget data for the year ended December 31, 2019 is as follows: Budget Direct labour hours 7,300 hours Machine hours 8,100 hours Depreciation for Head Office building $15,200 Factory supervisor salary $57,000 Depreciation on factory and equipment $61,500 Property taxes for factory $40,500 Advertising costs $18,000 Factory electricity and water costs $10.200 Direct materials cost $72,500 Actual direct labour hours for the year was 6,700 hours and actual machine hours incurred for the year was 9,100 hours. Actual manufacturing costs incurred for the year was $190,143. Required: (7 Marks - Show all calculations) a Compute the predetermined manufacturing overhead rate-round to the nearest cent (2 marks). b.Calculate the amount of manufacturing overnead applied to jobs for the past year. (1 mark) c Calculate the amount of under-applied or over-applied manufacturing overhead (Indicate whether the amount is under or over-applied) (2 marka) d. Prepare the journal entry to dispose of the under or over applied manufacturing overhead (2 marks) Account Name Dobit Credit Advertising costs $18,000 Factory electricity and water costs $19,200 Direct materials cost $72,500 Actual direct labour hours for the year was 6,700 hours and actual machine hours incurred for the was 9,100 hours. Actual manufacturing costs incurred for the year was $190,143. Required: (7 Marks - Show all calculations) a. Compute the predetermined manufacturing overhead rate - round to the nearest cent. (2 mar b. Calculate the amount of manufacturing overhead applied to jobs for the past year. (1 mark). C. Calculate the amount of under-applied or over-applied manufacturing overhead. (Indicate whet the amount is under or over-applied). (2 marks) d. Prepare the journal entry to dispose of the under or over applied manufacturing overhead. (2 marks) Debit Credit Account Name Paragraph BI E A 0 s X x = = = Font family 4 (14pt) HC TO a. Compute the predetermined manuufacturing overhead rate -round to the nearest cent. (2 marks) Cl. Machinex Parts Ltd. produces ignitions switches for Toyatam cars. The company allocates manufacturing overhead on a plant-wide basis based on the machine hours each job uses. The budget data for the year ended December 31, 2019 is as follows: Budget Direct labour hours 7,300 hours Machine hours 8,100 hours Depreciation for Head Office building $15,200 Factory supervisor salary $57,000 Depreciation on factory and equipment $61,500 property taxes for factory $40,500 Advertising costs $18,000 Factory electricity and water costs $19,200 Direct materials cost $72,500 Actual direct labour hours for the year was 6,700 hours and actual machine hours incurred for the year was 9100 hours. Actual manufacturing costs incurred for the year was $190,143. Required: (7 Marks - Show all calculations) a. Compute the predetermined manufacturing overhead rate - round to the nearest cent. (2 marks) b. Calculate the amount of manufacturing overhead applied to jobs for the past year (1 mark) c. Calculate the amount of under-applied or over-applied manufacturing overhead (indicate whether the amount is under or over-applied) (2 marks) d. Prepare the journal entry to dispose of the under or over applied manufacturing overhead (2 marks) Account Namo Debit Credit
