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Required information The Foundational 15 (Static) [LO3-1, LO3-2, LO3-3, LO3-4] [The following information applies to the questions displayed below.] Sweeten Company had no jobs in
Required information The Foundational 15 (Static) [LO3-1, LO3-2, LO3-3, LO3-4] [The following information applies to the questions displayed below.] Sweeten Company had no jobs in progress at the beginning of the year and no beginning inventories. It started, completed, and sold only two jobs during the year-Job P and Job Q. The company uses a plantwide predetermined overhead rate based on machine-hours. At the beginning of the year, it estimated that 4,000 machine-hours would be required for the period's estimated level of production. Sweeten also estimated $25,000 of fixed manufacturing overhead cost for the coming period and variable manufacturing overhead of $1.70 per machine-hour. Because Sweeten has two manufacturing departments-Molding and Fabrication-it is considering replacing its plantwide overhead rate with departmental rates that would also be based on machine-hours. The company gathered the following additional information to enable calculating departmental overhead rates: The direct materials cost, direct labor cost, and machine-hours used for Jobs P and Q are as follows: Sweeten Company had no overapplied or underapplied manufacturing overhead costs during the year. Required: For questions 1-8, assume that Sweeten Company uses a plantwide predetermined overhead rate with machine-hours as the allocation base. For questions, 9-15, assume that the company uses predetermined departmental overhead rates with machine-hours as the allocation base in both departments. oundational 3-10 (Static) . How much manufacturing overhead was applied from the Molding Department to Job P and how much was applied to Job Q? ote: Do not round intermediate calculations
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