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Delph Company uses a job-order costing system and has two manufacturing departments-Molding and Fabrication. The company provided the following estimates at the beginning of the
Delph Company uses a job-order costing system and has two manufacturing departments-Molding and Fabrication. The company provided the following estimates at the beginning of the year: Machine-hours Fixed manufacturing overhead cost Variable manufacturing overhead cost per machine-hour Molding 20,000 $700,000 $ 3.00 Fabrication 30,000 $ 210,000 $ 1.00 Total 50,000 $910,000 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 Direct labor cost Machine-hours Molding $375,000 $ 200,000 14,000 Molding Fabrication $325,000 $ 160,000 6,000 Fabrication Total $ 700,000 $360,000 20,000 $ 300,000 $ 175,000 6,000 $ 250,000 $225,000 24,000 Total $550,000 $ 400,000 30,000 Delph had no underapplied or overapplied manufacturing overhead during the year. Required: 1. Assume Delph uses departmental predetermined overhead rates based on machine-hours. a. Compute the departmental predetermined overhead rates. b. Compute the total manufacturing cost assigned to Job D-70 and Job C-200. c. If Delph establishes bid prices that are 150% of total manufacturing cost, what bid prices would it have established for Job D-70 and Job C-200? d. What is Delph's cost of goods sold for the year? Complete this question by entering your answers in the tabs below. Damirad 16 Damired 19 Dannirad Danuired in Required: 1. Assume Delph uses departmental predetermined overhead rates based on machine-hours. a. Compute the departmental predetermined overhead rates. b. Compute the total manufacturing cost assigned to Job D-70 and Job C-200. c. If Delph establishes bid prices that are 150% of total manufacturing cost, what bid prices would it haw Job C-200? d. What is Delph's cost of goods sold for the year? Complete this question by entering your answers in the tabs below. Required 1A Required 1B Required 1C Required 1D Assume Delph uses departmental predetermined overhead rates based on machine-hours. Compute the depa predetermined overhead rates. Predetermined overhead rates per MH Molding Department Fabrication Department per MH < Required 1A Required 1B > Required 1A Required 1B Required 1C Required 1D Assume Delph uses departmental predetermined overhead rates based on cost assigned to Job D-70 and Job C-200. Total manufacturing cost Job D-70 Job C-200 < Required 1A Requi Complete this question by entering your answers in the tabs below. Required 1A Required 1B Required 1C Required 1D Assume Delph uses departmental predetermined overhead rates based on machine-hours. If Delph establishes bid prices that are 150% of total manufacturing cost, what bid prices would it have established for Job D-70 and Job C-200? Bid price Job D-70 Job C-200 Complete this question by entering your answers in the tabs below. Required 1A Required 1B Required 1C Required 1D Assume Delph uses departmental predetermined overhead rates based on machine-hours. What is Delph's cost of goods sold for the year? Cost of goods sold
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