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Exercise 4-3A (Algo) Allocating overhead cost to accomplish smoothing LO 4-2 Gibson Corporation expects to incur indirect overhead costs of $66,550 per month and
Exercise 4-3A (Algo) Allocating overhead cost to accomplish smoothing LO 4-2 Gibson Corporation expects to incur indirect overhead costs of $66,550 per month and direct manufacturing costs of $22 per unit. The expected production activity for the first four months of the year are as follows. Estimated production in units Required January February March 4,600 8,600 4,500 April 6,500 a. Calculate a predetermined overhead rate based on the number of units of product expected to be made during the first four months of the year. b. Allocate overhead costs to each month using the overhead rate computed in Requirement a c. Calculate the total cost per unit for each month using the overhead allocated in Requirement b. Answer is not complete. Complete this question by entering your answers in the tabs below. Required A Required B Required C Calculate a predetermined overhead rate based on the number of units of product expected to be made during the first four months of the year. B The expected production activity for the first four months of the year are as follows. Estimated production in units January February March 4,600 8,600 4,500 April 6,500 Required Return to question a. Calculate a predetermined overhead rate based on the number of units of product expected to be made during the first four months of the year. b. Allocate overhead costs to each month using the overhead rate computed in Requirement a. c. Calculate the total cost per unit for each month using the overhead allocated in Requirement b. Answer is not complete Complete this question by entering your answers in the tabs below. Required A Required B Required C Calculate a predetermined overhead rate based on the number of units of product expected to be made during the first four months of the year. Predetermined overhead rate $ 3 per unit Required A Required B > Required a. Calculate a predetermined overhead rate based on the number of units of product expected to be made during the first four mont of the year. b. Allocate overhead costs to each month using the overhead rate computed in Requirement a c. Calculate the total cost per unit for each month using the overhead allocated in Requirement b. Answer is not complete. Complete this question by entering your answers in the tabs below. Required A Required B Required C Allocate overhead costs to each month using the overhead rate computed in Requirement a. Month Allocated Cost January February $ 12,650 March April Total $ 12,650 Required a. Calculate a predetermined overhead rate based on the number of units of product expected to be made during the first four month of the year. b. Allocate overhead costs to each month using the overhead rate computed in Requirement a. c. Calculate the total cost per unit for each month using the overhead allocated in Requirement b. Answer is not complete. Complete this question by entering your answers in the tabs below. Required A Required B Required C Calculate the total cost per unit for each month using the overhead allocated in Requirement b. Month Number of units January 4,600 February March April 8,600 4,500 6,500 Expected cost Overhead $ 12,650 Direct costs Total cost $ 12,650 $ 0 $ 0 S 0 Cost per unit Required B
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