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Please pay attention that this question has multiple parts. I am needing help on all parts of this question. I will mark it as a
Please pay attention that this question has multiple parts. I am needing help on all parts of this question. I will mark it as a thumbs down if it only answers one of the requirements. I really need some help to understand what is going on wit this one. There seems to be a lot of moving pieces, I will thumbs up a helpful response this is my second time posting this question trying to get some help
"Blast It!" sald David Wilson, president of Teledex Company. "We've Just lost the bid on the Koopers job by $2,000. It seems we're elther too high to get the job or too low to make any money on half the jobs we bid." Teledex Company manufactures products to customers' speclfications and uses job-order costing. The company uses a plantwide predetermined overhead rate based on direct labor cost to apply manufacturing overhead (assumed to be all fixed) to jobs. The following estimates were made at the beginning of the year. Jobs require varylng amounts of work in the three departments. The Koopers job, for example, would have required manufacturling costs in the three departments as follows: Required: 1. UsIng the company's plantwde approach: a. Compute the plantwide predetermined rate for the current year. b. Determine the amount of manufacturing overhead cost applied to the Koopers job. 2. Suppose Instead of using a plantwide predetermined overhead rate, the company had used departmental predetermined overhead rates based on direct labor cost. Under these conditions: a. Compute the predetermined overhead rate for each department for the current year. b. Determine the amount of manufacturing overhead cost applied to the Koopers job. 4. Assume it is customary in the Industry to bid jobs at 150% of total manufacturing cost (direct materlals, direct labor, and applied overhead). a. What was the company's bld price on the Koopers job using a plantwide predetermined overhead rate? b. What would the bid price have been if departmental predetermined overhead rates had been used to apply overhead costStep by Step Solution
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