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High Desert Potteryworks makes a variety of pottery products that it sells to retailers, such as Home Depot. The company uses a job order costing

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High Desert Potteryworks makes a variety of pottery products that it sells to retailers, such as Home Depot. The company uses a job order costing system in which predetermined overhead rates are used to apply manufacturing overhead cost to jobs. The predetermined overhead rate in the Moulding Department is based on machine-hours, and the rate in the Painting Department is based on direct labour cost. At the beginning of the year, the company's management made the following estimates: Direct labour-hours Machine-hours Direct materials cost Direct Labour cost Manufacturing overhead coat Department Moulding Painting 16,250 68,500 87,000 9,700 $527,000 $667,000 $162,500 $479,500 $896,100 $815,150 Job 205 was started on August and completed on August 10. The company's cost records show the following information concerning the job: Direct labour-hours Machine-hours Materials placed into production Direct labour cost Department Houlding Painting 35 150 160 25 $460 3322 8200 $690 Required: 1. Compute the predetermined overhead rate used during the year in the Moulding Department Compute the rate used in the Painting Department. (Round "Cost per machine-hour answer to 2 decimal places.) Predetermined Overhead Rate Moulding Department 10.30 per machine-hour Painting Department 170 % of direct labour cont $ 2. Compute the total overhead cost applied to Job 205. (Do not round intermediate calculations. Enter your answer rounded to the nearest whole dollar) Total overhead cool $ 2.782 3-a. What would be the total cost recorded for Job 205? (Do not round intermedinte calculations, Enter your answers rounded to the nearest whole dollar) Direct materials Direct labour Manufacturing overhead applied Total cost Department Moulding Painting Total $ 527,000 $ 687.000 $ 1,194.000 162,500 479,500 642.000 1.930 1,785 3,715 5 891.4301 $ 1,148,285 $ 1,839,715 3-b. If the Job contained 70 units, what would be the cost per unit? (Do not round Intermediate calculations and round your final answer to 2 decimal places.) Cost per unit 324444.42 4. At the end of the year, the records of High Desert Potterworks revealed the following actual cost and operating data for all jobs worked on during the year Department Houtdise Painting Direct labour-hour 11,700 63,700 Machine-hours 66,700 10,700 Direct materiale cost 5447.000 5697,000 Direct labour cost $125,000 5453,000 Manufacturing overhead cost 1699,710 $ 753,500 What was the amount of under or overapplied overhead in each department at the end of the year? (Do not round Intermediate calculations) Moulding Department Painting Department underapplied overed overhead Overhead S $ 12.700 152.500

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