Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Comans Corporation has two production departments, Miling and Customizing. The company uses a job-order costing system and computes a predetermined overhead rate in each production

image text in transcribed
Comans Corporation has two production departments, Miling and Customizing. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Milling Department's predetermined overhead rate is based on machine-hours and the Customizing Department's predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates Milling Customizing Machine-hours 27,000 Direct tabor-hours 12,000 16,000 8,000 Total fixed manufacturing overhead cost $137,700 $47,200 Variable manufacturing overhead per machine 1.30 hour Variable manufacturing overhead per direct $ 3.80 Labor-hour $ During the current month the company started and finished Job A319. The following data were recorded for this job: Job A319: Milling Customizing Machine-hours 70 10 Direct Labor-hours 50 40 Direct materials $ 630 $ 170 Direct labor cost $ 700 $ 510 If the company matics up its manufacturing costs by 20% then the selling price for Job A319 would be closest to (Round your intermediate calculations to 2 decimal places)

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

The Routledge Companion To Fair Value In Accounting

Authors: Gilad Livne

1st Edition

0367656132, 9780367656133

More Books

Students also viewed these Accounting questions