Calculate the Cost of Job 350 Using Activity Base Costing. I just need the manufacture Overhead Allocated and the Total Job Cost
Homework: Chapter 4 Homework Save Score: 0.7 of 1 pt 3 of 5 (3 completo) HW Score: 53.94%, 2.7 of 5 pts W E4-21A (similar to) Question Help Smith Industries manufactures a variety of custom products. The company has traditionally used a plantwide Expected usage and costs for manufacturing overhead activities for the upcoming year are as follows: manufacturing overhead rate based on machine hours to allocate manufacturing overhead to its products. The company (Click the icon to view the expected usage and costs.) estimates that it will incur $1,200,000 in total manufacturing overhead costs in the upcoming year and will use 15,000 machine hours. During the year, Job 350 is started and completed. Usage for this job follows: Click the icon to view the additional information about the hazardous waste disposal fees.) (Click the icon to view the usage for Job 350.) Read the requirements. Requirement 1. Calculate the cost of Job 350 using the traditional plantwide manufacturing overhead rate based on machine hours. Begin by calculating the plantwide overhead rate. First identify the formula used to compute the plantwide overhead rate, then compute the rate. (Abbreviations used: MOH = manufacturing overhead; mfg. = manufacturing) Total estimated manufacturing costs Estimated total machine hours = Plantwide mfg. overhead rate 1,200,000 15,000 80 Calculate the cost of Job 350. Job Cost Record JOB 350 Manufacturing Costs S 11.700 800 Direct materials Direct labor Manufacturing overtiead allocated 10,400 S 22,700 Total job cost Choose from any list or enter any number in the input fields and then click Check Answer. ? Requirement 2. Calculate the cost of Job 350 using activity-based costing. Begin by calculating the allocation rate for each activity. First determine the formula to compute the allocation rate in an activity-based costing system, then compute the rate for each activity. (Abbreviations used: est. = estimated, MH=machine hours, Mach.=Machine, Eng.=Engineering) Activity cost Total est. activity cost pool : Total est. activity allocation base = allocation rate Mach, maintenance $ 150,000 15,000 $ 10 per MH Eng. change orders 300,000 + 6,000 = $ 50 per order Waste disposal $ 750,000 + 3,000 = $ 250 per pound Calculate the cost of Job 350 using activity-based costing. Job Cost Record Manufacturing JOB 350 Costs Choose from any list or enter any number in the input fields and then click Check Answer. Score: 0.7 of 1 pt 3 of 5 (3 complete) HW Score: 53.94%, 2.7 of 5 pts E4-21A (similar to) Data Table * Requirements Smith Industries manufactures a variety of custom products. The company has to manufacturing overhead rate based on machine hours to allocate manufacturing estimates that it will incur $1,200,000 in total manufacturing overhead costs in th machine hours. Click the icon to view the additional information about the hazardous waste 1. 2. 260 pounds of direct materials at $45 per pound 20 direct labor hours used at $30 per labor hour 130 machine hours used 9 change orders 50 pounds of hazardous waste generated Calculate the cost of Job 350 using the traditional plantwide manufacturing overhead rate based on machine hours. Calculate the cost of Job 350 using activity based costing. If you were a manager, which cost estimate would provide you more useful information? How might you use this information? 3. + Total est ac Total BSL activity cost poor 150,000 + Mach maintenance S Eng, change orders S 300,000 + Print Done Waste disposal S 750,000 Print Done Calculate the cost of Job 350 using activity-based costing. Manufacturing Job Cost Record JOB 350 Data Table Costs 11,700 $ 600 Direct materials Direct labor Manufacturing overhead allocated Total job cost Description of Cost Pool Estimated Cost Cost Driver Machine maintenance costs ..... S 150,000 Number of machine hours Engineering change orders ....S 300,000 Number of change orders S Hazardous waste disposal ....... 750,000 Pounds of hazardous materials generated S 1,200,000 Total overhead cost Estimated Activity for this Year 15,000 6,000 Choose from any list or enter any number in the input fields and then click Check Answer. 3,000 1 part remaining
