Machine-hours $300,000 75,000 machine-hours $290,000 68,000 machine-hours Job Order Costing Data Allocation base Estimated manufacturing overhead cost Estimated total amount of the allocation base Actual manufacturing overhead cost Actual total amount of the allocation base Enter a formula into each of the cells marked with a ? Delow Computation of the predetermined overhead rate Estimated manufacturing overhead cost Estimated total amount of the allocation base Predetermined overhead rate Computation of underapplied or overapplied manufacturing overhead Actual manufacturing overhead cost Manufacturing overhead cost applied to Work in Process during the year Predetermined overhead rate Actual total amount of the allocation base Manufacturing overhead applied Underapplied (overappled) manufacturing overhead ? ? machine-hours ? per machine-hour 12 > per machine-hour 2. machine-hours 7 Process Costing. Data Beginning work in process inventory Units in process 200 Completion with respect to materials 55% Completion with respect to conversion 30% Costs in the beginning work in process inventory Materials cost $9.600 Conversion cost $5,575 Units started into production during the period 5.000 Costs added to production during the period. Materials cost $368,600 Conversion cost $350.900 Ending work in process inventory Units in process 400 Completion with respect to materials 40% Completion with respect to conversion 25% Enter a formula into each of the cells marked with a ? below Weighted Average method: Equivalent Units of Production Materials Conversion Units transferred to the next department 2 Equivalent units in ending work in process inventory Materials Conversion Equivalent units of production ? Costs per Equivalent Unit Materials Conversion Cost of beginning work in process inventory 2 Costs added during the period Total cost Equivalent units of production Cost per equivalent unit Costs of Ending Work in Process Inventory and the Units Transferred Out Materials Conversion Total Ending work in process inventory Equivalent units 2 Cost per equivalent unit 2 2 Cost of ending work in process inventory 2 Units completed and transferred out Units transferred to the next department ? 2 Cost per equivalent unit 2 2 Cost of units transferred out ? ? Cost Reconciliation Costs to be accounted for Cost of beginning work in process inventory 7 Costs added to production during the period ? Total cost to be accounted for Costs accounted for as follows Cost of ending work in process inventory 2 Page 2 Cost of units transferred out 2 Total cost accounted for 2 20,000 units $60 per unit $45 per unit $240,000 ? per unit 2 per unit 2 per unit CVP Analysis Data Unit sales Selling price per unit Variable expenses per unit Fixed expenses Enter a formula into each of the cells marked with a ? below Review Problem: CVP Relationships Compute the CM ratio and variable expense ratio Selling price per unit Variable expenses per unit Contribution margin per unit CM ratio Variable expense ratio Compute the break-even Break-even in unit sales Break-even in dollar sales Compute the margin of safety Margin of safety in dollars Margin of safety percentage Compute the degree of operating leverage Sales Variable expenses Contribution margin Foxed expenses Net operating income Degree of operating leverage ? ? units ? ? ? ? 2 2
