Exercise $7-32($Static$)$ Predetermined Overhead Rates $($LO $7-3)$

Antoine Machining estimated its manufacturing overhead to be $$279,000$ and its direct materials costs to be $$450,000$ in Year

Three of the jobs that Antoine Machining worked on in Year $1$ had actual direct materials costs of $$15,000$ for Job AM$002,$

$$55,000$ for Job AM$005,$ and $$70,000$ for Job AM$008.$ For Year $1,$ actual manufacturing overhead was $$313,000$ and total direc

materials cost was $$540,000.$ Manufacturing overhead is applied to jobs on the basis of direct materials costs using

predetermined rates.

Required:

a$.$ How much overhead was assigned to each of the three jobs, AM$002,$ AM$005,$ and AM$008?$

b$.$ What was the over$-$ or underapplied manufacturing overhead for Year $1?$

Complete this question by entering your answers in the tabs below.

Required B

How much overhead was assigned to each of the three jobs, AM$002,$ AM$005,$ and AM$008?$

Problem $7-65($Static$)$ Tracing Costs in a Job Company $($LO $7-2,3)$

Edwin Parts, a job shop, recorded the following transactions in May:

Purchased $$87,200$ in materials on account.

Issued $$3,650$ in supplies from the materials inventory to the production department.

Issued $$43,600$ in direct materials to the production department.

Paid for the materials purchased in transaction $(1).$

Incurred wage costs of $$67,200,$ which were debited to Payroll, a temporary account. Of this amount, $$22,300$ was withheld

for payroll taxes and credited to Payroll Taxes Payable. The remaining $$44,900$ was paid in cash to the employees. See

transactions $(6)$ and $(7)$ for additional information about Payroll.

Recognized $$34,700$ in fringe benefit costs, incurred as a result of the wages paid in $(5).$ This $$34,700$ was debited to Payroll

and credited to Fringe Benefits Payable.

Analyzed the Payroll account and determined that $65$ percent represented direct labor; $15$ percent, indirect manufacturing

labor; and $20$ percent, administrative and marketing costs.

Applied overhead on the basis of $140$ percent of direct labor costs.

Paid for utilities, power, equipment maintenance, and other miscellaneous items for the manufacturing plant totaling $$41,300.$

Recognized depreciation of $$26,300$ on manufacturing property, plant, and equipment.

Required: