I posted the one before, the answers were wrong.

Check Kingsport Containers Company makes a single product that is subject to wide seasonal variations in demand. The company uses a job-order costing system and computes plantwide predetermined overhead rates on a quarterly basis using the number of units to be produced as the allocation base. Its estimated costs, by quarter, for the coming year are given below: Direct materials Direct labor Manufacturing overhead Total manufacturing costs (a) Number of units to be produced (b) Estimated unit product cost (a) + (b) Quarter First Second Third Fourth $280,000 $140,000 $ 70,000 $219,000 160,000 80,000 40,000 120,000 240,000 216,000 204,000 ? $ 680,000 $436,000 $314,000 $ 120,000 60,000 30,000 90,000 $ 5.67 $ 7.27 $ 10.47 $ ? Management finds the variation in quarterly unit product costs to be confusing. It has been suggested that the problem lies with manufacturing overhead because it is the largest element of total manufacturing cost. Accordingly, you have been asked to find a more appropriate way of assigning manufacturing overhead cost to units of product. Required: 1. Assuming the estimated variable manufacturing overhead cost per unit is $0.40, what must be the estimated total fixed manufacturing overhead cost per quarter? 2. Assuming the assumptions about cost behavior from the first three quarters hold constant, what is the estimated unit product cost for the fourth quarter? 3. What is causing the estimated unit product cost to fluctuate from one quarter to the next? 4. Assuming the company computes one predetermined overhead rate for the year rather than computing quarterly overhead rates, calculate the unit product cost for all units produced during the year. White Company has two departments, Cutting and Finishing. The company uses a job order costing system and computes a predetermined overhead rate in each department. The Cutting Department bases its rate on machine-hours, and the Finishing Department bases its rate on direct labor-hours. At the beginning of the year, the company made the following estimates: Department Cutting Finishing Direct labor-hours 8,700 87,000 Machine hours 51,300 3,700 Total fixed manufacturing overhead cost $390,000 $582,000 Variable manufacturing overhead per machine-hour $ 3.00 Variable manufacturing overhead per direct labor-hour $ 3.75 Required: 1. Compute the predetermined overhead rate for each department. 2. The job cost sheet for Job 203, which was started and completed during the year, showed the following Department CuttingFinishing Direct labor-hours 4 11 Machine-hours 87 4 Direct materials $ 760 S 350 Direct labor cost $ 80 S 220 Using the predetermined overhead rates that you computed in requirement (1), compute the total manufacturing cost assigned to Job 203 3. Would you expect substantially different amounts of overhead cost to be assigned to some jobs if the company used a plantwide predetermined overhead rate based on direct labor- hours, rather than using departmental rates