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I need help with C!!! PLZ and thanks! 4. The Solar Radiator Company uses a normal-costing system with a single manufacturing overhead cost pool and
I need help with C!!! PLZ and thanks!
4. The Solar Radiator Company uses a normal-costing system with a single manufacturing overhead cost pool and machine-hours as the cost-allocation base. The following data are for 2017: (Click the icon to view the following data.) Read the requirements Requirement 1. Compute the budgeted manufacturing overhead rate for 2017 Begin by selecting the formula you will use. Then, enter the amounts and calculate the rate. / Budgeted manufacturing overhead 4,875,000 Budgeted machine-hours 75,000 Budgeted manufacturing overhead rate 65 Requirement 2. Compute the under-or overallocated manufacturing overhead of Solar Radiator in 2017. Begin by selecting the formula you will use. Next, enter the amounts in the formula and compute the under-or overallocated manufacturing overhead. (Use parentheses or a minus sign when entering overallocated amounts.) - Manufacturing overhead incurred 4,925,000 Manufacturing overhead allocated 5,200,000 - - Manufacturing overhead underallocated (overallocated) $ (275,000) a. Dispose of this amount using a write-off to Cost of Goods Sold. Show the account balances after the write-off. Cost of Goods Sold Finished Goods Control Work-in-Process Control Account Balance After Proration 8,225,000 1,000,000 500,000 b. Dispose of the amount using a proration based on ending balances (before proration) in Work-in-Process Control, Finished Goods Control, and Cost of Goods Sold. Begin by selecting the formula to calculate the adjustment to each account. Then enter the amounts in the formula. (Enter the proportions as a decimal to three decimal places, "X.XXX". Use a minus sign or parentheses to show overallocated amounts and adjustments to be subtracted.) Proportion (decimal) X (Over-) Underallocated OH (275,000) = Adjustment $ (233,750) COGS 0.850 x $ Proportion (decimal) X Print COGS FG 0.850 x $ 0.100 x 0.050 x (Over-) Underallocated OH (275,000) - (275,000) = (275,000) = Adjustment $ (233,750) (27,500) (13,750) WIP Now enter the account balances after the write-off. Account Balance After Proration 8,266,250 972,500 Cost of Goods Sold Finished Goods Control Work-in-Process Control 486,250 c. Dispose of the amount using a proration based on the overhead allocated in 2017 (before proration) in the ending balances of Work-in-Process Control, Finished Goods Control, and Cost of Goods Sold. Begin by selecting the formula to calculate the adjustment to each account. Then enter the amounts in the formula. (Enter the proportions as a decimal to three decimal places, "X.XXX". Use a minus sign or parentheses to show overallocated amounts and adjustments to be subtracted.) (1) Proportion (decimal) COGS x 0.85 x 0.117 x 0.033 x (2) (Over-) Underallocated OH (275,000) (275,000) (275,000) Adjustment (233,750) (32,175) (9,075) = - = FG WIP Now enter the account balances after the write-off. Account Balance After Proration Cost of Goods Sold Finished Goods Control Work-in-Process Control Requirement 3. Which method do you prefer in requirement 2? Explain. 1: Data Table Budgeted manufacturing overhead costs Overhead allocation base Budgeted machine-hours Manufacturing overhead costs incurred $ 4,875,000 Machine-hours 75,000 $ 4,925,000 Actual machine-hours 80,000 Machine-hours data and the ending balances (before proration of under-or overallocated overhead) are as follows: Cost of Goods Sold Finished Goods Control Work-in-Process Control Actual Machine-Hours 60,000 12,000 8,000 2017 End-of-Year Balance 8,500,000 1,000,000 500,000Step by Step Solution
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