Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Mike's Inc. has Total Estimated MOH for Assembly and Testing Departments of $560,000 and $340,000, respectively. Mike Company uses departmental predetermined overhead rates based
Mike's Inc. has Total Estimated MOH for Assembly and Testing Departments of $560,000 and $340,000, respectively. Mike Company uses departmental predetermined overhead rates based on machine-hours. Estimated machine hours for Assembly and Testing Departments are 20,000 and 30,000 hours respectively. During the year, the company had no beginning or ending inventories and it started, completed, and sold only two jobs-Job A-20 and Job D-150. It provided the following information related to those two jobs: Job A-20 Direct Material Cost Direct Labor Cost Assembly Testing Total $380,000 $330,000 $710,000 $240,000 $160,000 $400,000 Actual Machine-Hours 16,000 6,000 22,000 Job D-150 Assembly Testing Total Direct Material Cost $260,000 $300,000 $560,000 Direct Labor Cost $140,000 $280,000 $420,000 Actual Machine-Hours 6,000 24,000 30,000 Compute the total manufacturing cost assigned to Job A-20, $2,685,320 $1,600,000 $1,625,980 $2,419,320
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