Question
Please Help me, How do I calculate the OverHead for the chart below? Thanks! Widmer Watercrafts predetermined overhead rate for year 2013 is 200% of
Please Help me, How do I calculate the OverHead for the chart below? Thanks! Widmer Watercrafts predetermined overhead rate for year 2013 is 200% of direct labor. Information on the companys production activities during May 2013 follows. |
a. | Purchased raw materials on credit, $240,000. |
b. | Paid $129,100 cash for factory wages. |
c. | Paid $15,750 cash to a computer consultant to reprogram factory equipment. |
d. | Materials requisitions record use of the following materials for the month. |
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Job 136 | $ | 48,500 |
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Job 137 |
| 32,500 |
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Job 138 |
| 19,600 |
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Job 139 |
| 23,200 |
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Job 140 |
| 7,000 |
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Total direct materials |
| 130,800 |
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Indirect materials |
| 21,000 |
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Total materials used | $ | 151,800 |
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e. | Time tickets record use of the following labor for the month. |
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Job 136 | $ | 12,000 |
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Job 137 |
| 10,800 |
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Job 138 |
| 37,500 |
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Job 139 |
| 39,000 |
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Job 140 |
| 3,800 |
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| ||
Total direct labor |
| 103,100 |
|
Indirect labor |
| 26,000 |
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| ||
Total | $ | 129,100 |
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f. | Applied overhead to Jobs 136, 138, and 139. |
g. | Transferred Jobs 136, 138, and 139 to Finished Goods. |
h. | Sold Jobs 136 and 138 on credit at a total price of $540,000. |
i. | The company incurred the following overhead costs during the month (credit Prepaid Insurance for expired factory insurance). |
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Depreciation of factory building | $ | 70,000 |
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Depreciation of factory equipment |
| 37,500 |
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Expired factory insurance |
| 11,000 |
|
Accrued property taxes payable |
| 36,500 |
|
j. | Applied overhead at month-end to the Goods in Process (Jobs 137 and 140) using the predetermined overhead rate of 200% of direct labor cost. |
| Job No. 136 | Job No. 137 | Job No. 138 | Job No. 139 | Job No. 140 |
Materials | $ 48,500 | 32,500 | 19,600 | 23,200 | 7,000 |
Labor | 12,000 | 10,800 | 37,500 | 39,000 | 3,800 |
Overhead | ?????? | ?????? | ?????? | ?????? | ?????? |
Total Cost |
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