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I ONLY NEED WELL-ORGANIZED AND ACCURATE ANSWERS! THANKS. High Desert Potteryworks makes a variety of pottery products that it sells to retailers. The company uses
I ONLY NEED WELL-ORGANIZED AND ACCURATE ANSWERS! THANKS.
High Desert Potteryworks makes a variety of pottery products that it sells to retailers. The company uses a job-order costing system in which departmental predetermined overhead rates are used to apply manufacturing overhead cost to jobs. The predetermined overhead rate in the Molding Department is based on machine-hours, and the rate in the Painting Department is based on direct labor- hours. At the beginning of the year, the company provided the following estimates Department Molding Painting 50,800 35,000 $163,400 $447,040 33,500 86,000 Direct labor-hours Machine-hours Fixed manufacturing overhead cost Variable manufacturing overhead per machine-hour Variable manufacturing overhead per direct labor-hour $ 3.20 -$ 5.20 Job 205 was started on August 1 and completed on August 10. The company's cost records show the following information concerning the job Department MoldingPainting Direct labor-hours Machine-hours Direct materials Direct labor cost 132 69 $ 948 $1,180 $ 750 $ 950 370 Required: 1. Compute the predetermined overhead rates used in the Molding Department and the Painting Department. 2. Compute the total overhead cost applied to Job 205 3-a. What would be the total manufacturing cost recorded for Job 205? 3-b. If the job contained 22 units, what would be the unit product costStep by Step Solution
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