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Required information [The following information applies to the questions displayed below.] Delph Company uses a job-order costing system and has two manufacturing departmentsMolding and Fabrication.

Required information

[The following information applies to the questions displayed below.]

Delph Company uses a job-order costing system and has two manufacturing departmentsMolding and Fabrication. The company provided the following estimates at the beginning of the year:

Molding Fabrication Total
Machine-hours 28,000 38,000 66,000
Fixed manufacturing overhead costs $ 760,000 $ 230,000 $ 990,000
Variable manufacturing overhead cost per machine-hour $ 5.50 $ 5.50

During the year, the company had no beginning or ending inventories and it started, completed, and sold only two jobsJob D-70 and Job C-200. It provided the following information related to those two jobs:

Job D-70: Molding Fabrication Total
Direct materials cost $ 375,000 $ 326,000 $ 701,000
Direct labor cost $ 240,000 $ 150,000 $ 390,000
Machine-hours 19,000 9,000 28,000

Job C-200: Molding Fabrication Total
Direct materials cost $ 230,000 $ 260,000 $ 490,000
Direct labor cost $ 140,000 $ 260,000 $ 400,000
Machine-hours 9,000 29,000 38,000

Delph had no underapplied or overapplied manufacturing overhead during the year.

2. 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 140% of total manufacturing costs, 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?

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