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Current Attempt in Progress Crane Company uses a job order cost system in each of its three manufacturing departments. Manufacturing overhead is applied to
Current Attempt in Progress Crane Company uses a job order cost system in each of its three manufacturing departments. Manufacturing overhead is applied to jobs on the basis of direct labor cost in Department D, direct labor hours in Department E, and machine hours in Department K. In establishing the predetermined overhead rates for 2022, the following estimates were made for the year. Department D E K Manufacturing overhead $1,512,000 Direct labor costs $1,890,000 $2,047,500 $1,134,000 $1,575,000 $567,000 Direct labor hours 126,000 157,500 50,400 Machine hours 504,000 630,000 151,200 The following information pertains to January 2022 for each manufacturing department. Department D E K Direct materials used $176,400 $158,760 $98,280 Direct labor costs $151,200 $138,600 $47,250 Manufacturing overhead incurred $124,740 $156,240 $99,540 Direct labor hours 10,080 13,860 4,410 Machine hours 42,840 56,700 13,104 Compute the predetermined overhead rate for each department. (Round per machine hour answers to 2 decimal places, e.g. 12.50 and other answers to O decimal places, e.g. 12 or 12%) Department D Department E $ Overhead rate % per direct labor hour Department K $ per machine hour eTextbook and Media Compute the total manufacturing costs assigned to jobs in January in each department. Department D $ Manufacturing Costs Department E $ Department K $ Compute the under- or overapplied overhead for each department at January 31. +A $ Manufacturing Overhead Department D Department E Department K +A $ +A $ eTextbook and Media > > >
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