Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

how would i solve this? Pharoah Company produces one product, a putter called GO-Putter. Pharoah uses a standard cost system and determines that it should

how would i solve this?
image text in transcribed
Pharoah Company produces one product, a putter called GO-Putter. Pharoah uses a standard cost system and determines that it should take one hour of direct labor to produce one GO-Putter. The normal production capacity for this putter is 130,000 units per year. The total budgeted overhead at normal capacity is $1,170,000 comprised of $390,000 of variable costs and $780,000 of fixed costs. Pharoah applies overhead on the basis of direct labor hours. During the current year, Pharoah produced 79,100 putters, worked 82,500 direct labor hours, and incurred variable overhead costs of $142,380 and fixed overhead costs of $660,900. (a) Compute the predetermined variable overhead rate and the predetermined fuxed overhead rate. (Round answers to 2 decimal places, es. 2.75.)

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

Principles of Accounting

Authors: Needles, Powers, crosson

11th Edition

1439037744, 978-1133626985, 978-1439037744

More Books

Students also viewed these Accounting questions

Question

Describe the role that households play in child socialization?

Answered: 1 week ago

Question

5. How has your college education prepared you for this position?

Answered: 1 week ago