Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Check my work 06 Required information [The following information applies to the questions displayed below.) Delph Company uses a job-order costing system with a

image text in transcribedimage text in transcribed

Check my work 06 Required information [The following information applies to the questions displayed below.) Delph Company uses a job-order costing system with a plantwide predetermined overhead rate based on machine-hours. At the beginning of the year, the company estimated that 54,000 machine-hours would be required for the period's estimated level of production. It also estimated $1,020,000 of fixed manufacturing overhead cost for the coming period and variable manufacturing overhead of $4.00 per machine-hour. Because Delph has two manufacturing departments-Molding and Fabrication-it is considering replacing its plantwide overhead rate with departmental rates that would also be based on machine- hours. The company gathered the following information to enable calculating departmental overhead rates: 3 Machine-hours Fixed manufacturing overhead cost Variable manufacturing overhead cost per machine-hour Molding 21,000 $740,000 $ 4.00 Fabrication 33,000 $ 280,000 $ 2.00 During the year, the company had no beginning or ending inventories and it started, completed, and sold only two jobs-Job D-70 and Job C-200. It provided the following information related to those two jobs: Job D-70 Direct materials cost Direct labor cost Machine-hours Job C-200 Direct materials cost Dirart Jabar cart Prow Holding $370,000 $ 240,000 14,000 Fabrication $ 320,000 $ 140,000 7,000 Molding. $ 280,000 Fabrication $ 280,000 140 aaa e 300 aaa 9 Total $690,000 $ 380,000 21,000 Total $560,000 +470 00n Next > Total 54,000 5 1,020,000

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_2

Step: 3

blur-text-image_3

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

Fundamental Accounting Principles Volume II

Authors: Larson Kermit, Jensen Tilly

14th Canadian Edition

71051570, 0-07-105150-3, 978-0071051576, 978-0-07-10515, 978-1259066511

More Books

Students also viewed these Accounting questions

Question

Explain how to transform sin tan + cos into sec.

Answered: 1 week ago

Question

How can it handle those challenges? LO1

Answered: 1 week ago

Question

How often do you use navigation tools? LO1

Answered: 1 week ago