Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Deloria Corporation has two production departments, Forming and Assembly. The company uses a job-order costing system and computes a predetermined overhead rate in each

image text in transcribedimage text in transcribed

Deloria Corporation has two production departments, Forming and Assembly. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Forming Department's predetermined overhead rate is based on machine-hours and the Assembly 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: Machine-hours Direct labor-hours Total fixed manufacturing overhead cost Variable manufacturing overhead per machine-hour Variable manufacturing overhead per direct labor-hour Forming 19,000 4,000 $ 129,200 $ 1.60 Assembly 15,000 8,000 $ 77,600 $ 3.00 During the current month the company started and finished Job T288. The following data were recorded for this job: Job T288: Machine-hours Direct labor-hours Direct materials Forming 80 30 $ 730 Assembly 10 40 $ 380 Direct labor cost $ 900 $ 1,200 The total amount of overhead applied in both departments to Job T288 is 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

Advanced Financial Accounting

Authors: Thomas Beechy, Umashanker Trivedi, Kenneth MacAulay

6th edition

013703038X, 978-0137030385

More Books

Students also viewed these Accounting questions

Question

What are credit terms? AppendixL01

Answered: 1 week ago