Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Janicki Corporation has two manufacturing departments--Machining and Customizing. The company used the following data at the beginning of the year to calculate predetermined overhead rates:
Janicki Corporation has two manufacturing departments--Machining and Customizing. The company used the following data at the beginning of the year to calculate predetermined overhead rates: Estimated total machine-hours (MHS) Estimated total fixed manufacturing overhead cost Estimated variable manufacturing overhead cost per MH Direct materials Direct labor cost Machining machine-hours Customizing machine-hours During the most recent month, the company started and completed two jobs-Job A and Job J. There were no beginning inventories. Data concerning those two jobs follow: Job A $ 12,000 $ 20,700 700 3,600 Machining 1,000 $ 4,800 $ 1.10 Job J $ 7,700 $ 6,400 300 5,400 Customizing 9,000 $ 23,400 $ 2.50 Total 10,000 $ 28,200 Assume that the company uses a plantwide predetermined manufacturing overhead rate based on machine-hours and uses a markup of 50% on manufacturing cost to establish selling prices. The calculated selling price for Job A is closest to: Note: Round your intermediate calculations to 2 decimal places.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started