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Jordan Manufacturing Company produced 2,700 units of inventory in January Year 2. It expects to produce an additional 8,500 units during the remaining 11 months
Jordan Manufacturing Company produced 2,700 units of inventory in January Year 2. It expects to produce an additional 8,500 units during the remaining 11 months of the year. In other words, total production for Year 2 is estimated to be 11,200 units. Direct materials and direct labor costs are $66 and $71 per unit, respectively. Jordan expects to incur the following manufacturing overhead costs during the Year 2 accounting period. Production supplies Supervisor salary Depreciation on equipment Utilities Rental fee on manufacturing facilities Required a. Combine the individual overhead costs into cost pool and calculate a predetermined overhead rate assuming the cost driver is number of units. b. Determine the cost of the 2,700 units of product made in January. Complete this question by entering your answers in the tabs below. Required A $ 4,900 173,000 140,000 22,000 214,500 Required B Combine the individual overhead costs into a cost pool and calculate a predetermined overhead rate assuming the cost driver is number of units. Note: Round your answer to 2 decimal places. Predetermined overhead rate per unit
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