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please i need the answer with explaination 14 1) Ross Corp. uses a predetermined overhead rate based on direct labor cost to apply manufacturing overhead
please i need the answer with explaination
14 1) Ross Corp. uses a predetermined overhead rate based on direct labor cost to apply manufacturing overhead to jobs. The predetermined overhead rates for the year are 200% of direct labor cost for Department A and 50% of direct labor cost for Department B. Job 436, started and completed during the year, was charged with the following costs: ? Dept. A Dept. B Direct materials $ 50,000 $ 10,000 Direct labor ? $ 60,000 Manufacturing overhead $ 80,000 The total manufacturing cost assigned to Job 436 was : A) $360,000 B) $390,000 C) $270,000 D) $480,000 12 M 2) The following data have been recorded for recently completed Job 450 on its job cost sheet. Direct materials cost was $3,044, A total of 46 direct labor-hours and 104 machine-hours were worked on the job. The direct labor wage rate is $15 per labor-hour. The Corporation applies manufacturing overhead on the basis of machine-hours. The predetermined overhead rate is $13 per machine hour. The total cost for the job on its job cost sheet would be: A) $4,332 B) $3,734 $3,072 D) $5,086 10 M 50,000 10,000 X 200% - 220,000 x 10,000 X 500% 50,000 Moh 80.000 ital 3) The management of Winterroth Corporation would like to investigate the possibility of basing its predetermined overhead rate on activity at capacity. The Corporation's controller has provided an example to illustrate how this new system would work. In this example, the allocation base is machine-hours Actual Estimated at the Beginning of the Capacity Year Machine-hours 53,000 49,000 Manufacturing overhead $ 1,803,060 $ 1,803,060 $ 1,803,060 If the Corporation bases its predetermined overhead rate on capacity, then as shown on the 63,000 income statement prepared for internal management purposes, the cost of unused capacity would be closest to: A) $286,200 B) $400,680 C) $264,600 D) $136,080 Step by Step Solution
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