Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Harnett Corporation has two manufacturing departments - - Molding and Assembly. The company used the following data at the beginning of the period to calculate

Harnett Corporation has two manufacturing departments--Molding and Assembly. The company used the following data at the beginning of the period to calculate predetermined overhead rates:
Molding Assembly Total
Estimated total machine-hours (MHs)6,0004,00010,000
Estimated total fixed manufacturing overhead cost $ 36,600 $ 24,400 $ 61,000
Estimated variable manufacturing overhead cost per MH $ 2.00 $ 4.00
During the period, the company started and completed two jobs--Job E and Job M. Data concerning those two jobs follow:
Job E Job M
Direct materials $ 21,400 $ 8,400
Direct labor cost $ 21,600 $ 8,400
Molding machine-hours 2,7003,300
Assembly machine-hours 4003,600
Required:
Assume that the company uses a plantwide predetermined manufacturing overhead rate based on machine-hours. Calculate that overhead rate.
Note: Round your answer to 2 decimal places.
Assume that the company uses a plantwide predetermined manufacturing overhead rate based on machine-hours. Calculate the amount of manufacturing overhead applied to Job E.
Note: Do not round intermediate calculations.
Assume that the company uses a plantwide predetermined manufacturing overhead rate based on machine-hours. Calculate the total manufacturing cost assigned to Job E.
Note: Do not round intermediate calculations.
Assume that the company uses a plantwide predetermined manufacturing overhead rate based on machine-hours and uses a markup of 20% on manufacturing cost to establish selling prices. Calculate the selling price for Job E.
Note: Do not round intermediate calculations.
Assume that the company uses departmental predetermined overhead rates with machine-hours as the allocation base in both departments. What is the departmental predetermined overhead rate in the Molding department?
Note: Round your answer to 2 decimal places.
Assume that the company uses departmental predetermined overhead rates with machine-hours as the allocation base in both production departments. What is the departmental predetermined overhead rate in the Assembly department?
Note: Round your answer to 2 decimal places.
Assume that the company uses departmental predetermined overhead rates with machine-hours as the allocation base in both production departments. How much manufacturing overhead will be applied to Job E?
Note: Do not round intermediate calculations.
Assume that the company uses departmental predetermined overhead rates with machine-hours as the allocation base in both production departments. Further assume that the company uses a markup of 20% on manufacturing cost to establish selling prices. Calculate the selling price for Job E.
Note: Do not round intermediate calculations.

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Accounting

Authors: Anne Britton, Chris Waterston

4th Edition

0273703609, 978-0273703600

More Books

Students also viewed these Accounting questions

Question

What is the purpose of an Objective-C protocol?

Answered: 1 week ago

Question

What is the competition?

Answered: 1 week ago

Question

What is the relative priority among the viable goals?

Answered: 1 week ago