Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Required: 1. Assume Delph uses departmental predetermined overhead rates based on machine-hours. a. Compute the departmental predetermined overhead rates. b. Compute the total manufacturing cost

image text in transcribed

Required: 1. Assume Delph uses departmental predetermined overhead rates based on machine-hours.

a. Compute the departmental predetermined overhead rates.

b. Compute the total manufacturing cost assigned to Job D-70 and Job C-200.

c. If Delph establishes bid prices that are 150% of total manufacturing cost, what bid prices would it have established for Job D-70 and Job C-200?

d. What is Delphs cost of goods sold for the year?

Required information [The following information applies to the questions displayed below.) Delph Company uses a job-order costing system and has two manufacturing departments-Molding and Fabrication. The company provided the following estimates at the beginning of the year: Machine-hours Fixed manufacturing overhead cost Variable manufacturing overhead cost per machine-hour Molding 21,000 $ 760,000 $ 5.00 Fabrication 35,000 $ 200,000 $ 1.50 Total 56,000 $ 960,000 During the year, the company had no beginning or ending inventories and it started, completed, and sold only two jobs- Job D-70 and Job C-200. It provided the following information related to those two jobs: Job D-70 Direct materials cost Direct labor cost Machine-hours Molding $ 370,000 $ 240,000 13,000 Fabrication $ 320,000 $ 140,000 8,000 Total $ 690,000 $ 380,000 21,000 Job C-200 Direct materials cost Direct labor cost Machine-hours Molding $ 220,000 $ 180,000 8,000 Fabrication $ 300,000 $ 260,000 27,000 Total $ 520,000 $ 440,000 35,000 Delph had no underapplied or overapplied manufacturing overhead during the year

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Accounting Regulation In Europe

Authors: McLeay Stuart

1st Edition

0333694600, 9780333694602

More Books

Students also viewed these Accounting questions

Question

How do you want me to help you?

Answered: 1 week ago