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fx Bevil Industries manufactures its product in two unique departments: Machining and Assembly. The A1 A C Bevil Industries manufactures its product in two unique

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fx Bevil Industries manufactures its product in two unique departments: Machining and Assembly. The A1 A C Bevil Industries manufactures its product in two unique departments: Machining and Assembly. The Machining department is heavily automated. The Assembly department is labor intensive The company's MOH costs for the year are budgeted at $1,000,000. Of this amount, $700,000 relates to the machining department while $300,000 relates to the assembly department. Bevil thinks it will incur 4,000 machine hours during the year (all in the machining department) and 12,500 DL hours (2,500 in the machining department and 10,000 in the assembly department) All DL is paid at a rate of $20 per hour. The company currently uses a Traditional costing system and allocate 1 hours. Selected job information for the month follows s MOH on the basis of DL Machining Department 2 machine hrs and 1 Assembly Department DM cost 3 Job #101 $100 10 DL hrs DL hr 5 machine hrs and 1 $100 Job #102 10 DL hrs DL hr 7 prep the data machining assembly totals 9 machine hours 10 DL hours 11 costs 12 13 calculate POHRS depertmt 14 traditional tor POHR 1 machining POHR 2 assembly 15 POHR per M hr per DL hr per DL hr 16 17 18 allocate product costs to cost objects 19 O8 101 DM DL MOH 1 MOH 2 20 DM 21 D 22 MOH budgeted at a million bucks, and 70% of that are 23 before the ampliser bevil industries intro- Ready 6:07/12:50 MacBook Pro 20 E2 ES E3 & # A 7 4 1 2 3 T Y Q R W CO LO A St LU :xf E17 D A automated. The Assembly department is labor intensive. The company's MOH costs for the year are budgeted at $1,000,000. Of this amount, $700,000 relates to the machining department, while $300,000 relates to the assembly department. Bevil thinks it will incur 4,000 machine hours during the year (all in the machining department) and 12,500 DL hours (2,500 in the machining department and 10,000 in the assembly department). n the basis of DL Tradtional costing system and allocates MOH o All DL is paid at a rate of $20 per hour. The company currently uses a hours. Selected job information for the month follows 1 2 Assembly Department Machining Department 2 machine hrs and 1 DL hr DM cost 10 DL hrs Job #101 $100 5 machine hrs and 10 DL hrs Job #102 $100 DL hr prep the data machining totals assembly 9 machine hours 4,000 2,500 700.000 $ 4.000 10 DL hours 10,000 12.500 11 costs 1,000,000 12 13 calculate POHRS troditional 14 departmental 15 POHR POHR 1 machining POHR 2 assembly 80 per DL hr 175 per M hr 16 30 per DL hr 17 18 allocate preduct costs to cost objects 15 JOB 101 DM 20 DM 21 DL MOH 1 MOH 2 22 MOH 23 total So our POHR in assembly under the departmental system 24 teeal before the amplitier intro bevl industries + Ready 12:47 1256 MacBook Pro esc E2 # & 1 2 3 4 7 Q W E R T Y

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