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Determine the total cost for job 903 . Exercises 3 (5 points) Northern Wood Products has two production departments: cutting and assembly. The company has
Determine the total cost for job 903 . Exercises 3 (5 points) Northern Wood Products has two production departments: cutting and assembly. The company has been using a plantwide cost driver rate computed by dividing plantwide overhead costs by total plantwide direct labor hours. The estimates for overhead costs and practical capacity quantities of cost drivers for the current year follow: Required a. Compute the plantwide cost driver rate. b. Determine departmental cost driver rates based on direct labor hours for assembly and ma-chine hours for cutting. c. Provide reasons why Northern Wood might use the method in part (a) or the one in part (b). ' Provide you Answer in an Excel file that you create and Upload to Canvas Exercises 4 (5 points) Cambridge Company manufactures plastic bottles that it sells to organizations that manufacture bottled water. During the most recent month, there was no opening inventory. During the month, 25 million bottles were entered into production and 24 million were completed. The units in ending inventory were 100% complete with respect to materials costs and 70% complete with respect to conversion costs. During the month, materials costs were $1,000,000 and conversion costs were $492,000. Required a. What was the number of equivalent units work done for conversion costs this month? b. What was the cost per equivalent unit of conversion cost this month? c. What is the cost that will be allocated to units completed and transferred out? d. What is the cost that will be allocated to ending work in process
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