Question one:

Part one:

Sandler Corporation bases its predetermined overhead rate on the estimated machine-hours for the upcoming year. Data for the upcoming year appear below:

Estimated machine-hours		72,300
Estimated variable manufacturing overhead	$	3.30	per machine-hour
Estimated total fixed manufacturing overhead	$	838,780

Required:

Compute the company's predetermined overhead rate. (Round your answer to 2 decimal places. Omit the "$" sign in your response)

Predetermined overhead rate

$

Part 2:

Job 434 was recently completed. The following data have been recorded on its job cost sheet:

Direct materials	$	50,000
Direct labor-hours		670	labor-hours
Direct labor wage rate	$	12	per labor-hour
Machine-hours		340	machine-hours
Number of units completed		3,500	units

The company applies manufacturing overhead on the basis of machine-hours. The predetermined overhead rate is $12 per machine-hour.

Required:

Compute the unit product cost that would appear on the job cost sheet for this job. (Round your answer to 2 decimal places. Omit the "$" sign in your response.)

Unit product cost

$