Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Comfort Manufacturing is a small textile manufacturer using machine-hours as the single indirect-cost rate to allocate manufacturing overhead costs to the various jobs contracted during

  1. Comfort Manufacturing is a small textile manufacturer using machine-hours as the single indirect-cost rate to allocate manufacturing overhead costs to the various jobs contracted during the year. The following estimates are provided for the coming year for the company and for the Winton High School band jacket job.

Company

Winton High School Job

Direct materials

$40,000

$2,000

Direct labor

$10,000

$400

Manufacturing overhead costs

$45,000

Machine-hours

100,000 mh

900mh

What is the bid price for the Winton High School job if the company uses 40% markup of total manufacturing costs?

  1. $3,927
  2. $2,058
  3. $2,880
  4. $2,310
  5. None of the above

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

Step: 3

blur-text-image

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

Managerial Accounting Manufacturing And Service Applications

Authors: Arnold Schneider, Harold M. Sollenberger

4th Edition

0759350426, 978-0759350427

More Books

Students also viewed these Accounting questions

Question

4.4 Summarize the components of a job description.

Answered: 1 week ago