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Landen Corporation uses job - order costing. At the beginning of the year, it made the following estimates: During the year, Job 5 5 0
Landen Corporation uses joborder costing. At the beginning of the year, it made the following estimates:
During the year, Job was started and completed. The following information pertains to this job:
Required:
Assume Landen has historically used a plantwide predetermined overhead rate with direct laborhours as the allocation base.
Under this approach:
a Compute the plantwide predetermined overhead rate.
b Compute the total manufacturing cost of Job
c If Landen uses a markup percentage of of its total manufacturing cost, what selling price would it establish for Job
Assume Landen's controller believes that machinehours is a better allocation base than direct laborhours. Under this approach:
a Compute the plantwide predetermined overhead rate.
b Compute the total manufacturing cost of Job
c If Landen uses a markup percentage of of its total manufacturing cost, what selling price would it establish for Job
Note: Round your intermediate calculations to decimal places. Round your Predetermined Overhead Rate answers to decimal
places and all other answers to the nearest whole dollar.
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