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Old MathJax webview how do I get the per machine hour for job 845 based on machine hours Return to course Business Course Calculating Activity-Based
Old MathJax webview
how do I get the per machine hour
for job 845 based on machine hours
Return to course Business Course Calculating Activity-Based Costing Overhead Rates Assume that manufacturing overhead for Glassman Company consisted of th costs: Setup (1,000 setup hours) $144,000 Production scheduling (400 batches) 60,000 Production engineering (60 change orders) 120,000 Supervision (2,000 direct labor hours) 56,000 Machine maintenance (12,000 machine hours) 84,000 Total activity costs $464,000 The following additional data were provided for Job 845: Direct materials costs $7,000 Direct labor cost (5 Milling direct labor hours; 35 Finishing direct labor hours) $1,000 Setup hours 5 hours Production scheduling 1 batch Machine hours used (25 Milling machine hours; 5 Finishing machine hours) 30 hours Production engineering 3 change orders a. Calculate the cost per unit of activity driver for each activity cost catego $ 144 Setup Production scheduling cost $ 150 Production engineering cost $ 2000 Supervision cost $ 28 Machine operating cost $ 7 b. Calculate the cost of Job 845 using ABC to assign the overhead costs. Job 845 Direct materials cost $ 7000 Direct labor cost 1000 Manufacturing overhead costs: Setup costs 720 Production scheduling 150 Production engineering 6000 Supervision 1120 Machine operations 210 Total cost $ 16200 Round rate to two decimal places. $ 1 * per machine hour Next, use rounded overhead rate calculated above for calculations below. Rou nearest whole number, when needed. Job 845 Direct materials cost $ 7,000 Direct labor cost 1,000 Manufacturing overhead cost: 0X Total cost $ 0 X d. Calculate the cost of Job 845 using a machine hour departmental overhead Department and a direct labor hour overhead rate for the Finishing Departme $344,000 $120,000 Milling Department manufacturing overhead Finishing Department manufacturing overhead Machine hours used Milling Department Finishing Department Labor hours used Milling Department Finishing Department 10,000 hours 2,000 hours 1,000 hours 1,000 hours Round rates to two decimal places, if needed. $ 0 X per Milling Dept. machine hour $ 0 * per Finishing Dept. direct labor hour Use rounded overhead rates calculated above for calculations below. Round whole number, when needed. Job 845 "405" 1 2 00 3 4. 5 6 W e r t u @ # & $ d f h
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