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Required information Skip to question [ The following information applies to the questions displayed below. ] Jasper Company, a machine tooling firm, has several plants.
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Jasper Company, a machine tooling firm, has several plants. One plant, located in Saint Cloud, Minnesota, uses a job order costing system for its batch production processes. The Saint Cloud plant has two departments through which most jobs pass. Plantwide overhead, which includes the plant managers salary, accounting personnel, cafeteria, and human resources, is budgeted at $ During the past year, actual plantwide overhead was $ Each departments overhead consists primarily of depreciation and other machinerelated expenses. Selected budgeted and actual data from the Saint Cloud plant for the past year are as follows:
Department A Department B
Budgeted department overhead excludes plantwide overhead $ $
Actual department overhead
Expected total activity:
Direct labor hours
Machinehours
Actual activity:
Direct labor hours
Machinehours
For the coming year, the accountants at the Saint Cloud plant are in the process of helping the salesforce create bids for several jobs. Projected data pertaining only to job number are as follows:
Direct materials $
Direct labor cost:
Department A hours
Department B hours
Machinehours projected:
Department A
Department B
Units produced
c The sales policy at the Saint Cloud plant dictates that job bids be calculated by adding percent to total manufacturing costs. What would be the bid for job number using an overhead rate of $ per direct labor hour?
c The sales policy at the Saint Cloud plant dictates that job bids be calculated by adding percent to total manufacturing costs. What would be the bid for job number using the following three separate overhead rates based on machine hours?
Plantwide rate of $ per machine hour
Department A overhead rate of $ per machine hour
Department B overhead rate of $ per machine hour
c Which of the overhead allocation methods would you recommend?!
Required information
The following information applies to the questions displayed below.
Jasper Company, a machine tooling firm, has several plants. One plant, located in Saint Cloud, Minnesota, uses a job order
costing system for its batch production processes. The Saint Cloud plant has two departments through which most jobs
pass. Plantwide overhead, which includes the plant manager's salary, accounting personnel, cafeteria, and human
resources, is budgeted at $ During the past year, actual plantwide overhead was $ Each department's
overhead consists primarily of depreciation and other machinerelated expenses. Selected budgeted and actual data from
the Saint Cloud plant for the past year are as follows:
For the coming year, the accountants at the Saint Cloud plant are in the process of helping the salesforce create bids for
several jobs. Projected data pertaining only to job number are as follows:
c The sales policy at the Saint Cloud plant dictates that job bids be calculated by adding percent to total manufacturing costs.
What would be the bid for job number using an overhead rate of $ per direct labor hour?
c The sales policy at the Saint Cloud plant dictates that job bids be calculated by adding percent to total manufacturing costs.
What would be the bid for job number using the following three separate overhead rates based on machine hours?
Plantwide rate of $ per machine hour
Department A overhead rate of $ per machine hour
Department B overhead rate of $ per machine hour
c Which of the overhead allocation methods would you recommend?
Complete this question by entering your answers in the tabs below.
The sales policy at the Saint Cloud plant dictates that job bids be calculated by adding percent to total manufacturing
costs. What would be the bid for job number using an overhead rate of $ per direct labor hour?
Note: Round your intermediate calculations to decimal places and final answer to the nearest whole dollar amount.
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