Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Speedy Auto Repairs uses a job-order costing system. The company's direct materials consist of replacement parts installed in customer vehicles, and its direct labor consists

image text in transcribed
image text in transcribed
image text in transcribed
Speedy Auto Repairs uses a job-order costing system. The company's direct materials consist of replacement parts installed in customer vehicles, and its direct labor consists of the mechanics' hourly wages Speedy's overhead costs include various items, such as the shop manager's salary, depreciation of equipment, utilities, insurance, and magazine subscriptions and refreshments for the walting room The company applies all of its overhead costs to jobs based on direct labor-hours. At the beginning of the year, it made the following estimates: Direct labor-hours required to support ostinated output Tixed overhead coat $ 305,000 Variable overhead cost per direct labor-hour Required: 1 Compute the predetermined overhead rate 2. During the year, Mr. Wilkes brought in his vehicle to replace his brakes, spark plugs, and tires. The following Information was available with respect to his job: 46,000 $ 1.00 Die materials Direct Labor coat Direct labor-hours used 5.639 $199 4 Comput Mt. Wilkes totaljob cost 3. If Speedy establishes its selling prices using a markup percentage of 40% of its total job cost, then how much would it have charged Mr. Wilkes? Complete the question by entering your answers in the tabs given below. Required t Required 2 Required 3 Compute the predetermined overhead rate. (Round your answer to 2 decimal places) Predetermined overhead rate Rap Required 2 > per DLH Speedy Auto repairs uses a jop-order cosung system. ine companys direct materiais consist or replacement parts installed in customer vehicles, and its direct labor consists of the mechanics' hourly wages. Speedy's overhead costs include various items, such as the shop manager's salary, depreciation of equipment, utilities, insurance, and magazine subscriptions and refreshments for the waiting room The company applies all of its overhead costs to jobs based on direct labor-hours. At the beginning of the year, it made the following estimates Direct labor-hours required to support estimated output 46,000 Fixed overhead cost $ 305,000 Variable overhead cont per direct labor-hour Required: 1. Compute the predetermined overhead rate, 2. During the year, Mr. Wilkes brought in his vehicle to replace his brakes, spark plugs, and tires. The following information was available with respect to his job: $ 1.00 Direct materials Direct labor cost Direct labor-hours used $ 639 $ 197 4 Compute Mr. Wilkes total job cost. 3. If Speedy establishes its selling prices using a markup percentage of 40% of its totaljob cost, then how much would it have charged Mr. Wilkes? Complete the question by entering your answers in the tabs given below. Required 3 Required 1 Required 2 Compute Mr. Wilkes' total job cost. (Round your intermediate calculations to 2 decimal places.) Direct materials Direct labor Overhead apped Total cost assigned to Mr Wilkes Speedy Auto repairs uses ajo-orcer costing system, ine companys airect materiais consist or replacement parts in stare in customer vehicles, and its direct labor consists of the mechanics' hourly wages. Speedy's overhead costs include various items, such as the shop manager's salary, depreciation of equipment, utilities, insurance, and magazine subscriptions and refreshments for the walting room The company applies all of its overhead costs to jobs based on direct labor-hours. At the beginning of the year, it made the following estimates Direct labor-hours required to support estimated output 46,000 Fixed overhead coat $ 305,000 Variable overhead cont per direct labor-hour $1.00 Required: 1. Compute the predetermined overhead rate. 2. During the year. Mr. Wikes brought in his vehicle to replace his brakes, spark plugs, and tires. The following information was available with respect to his job: Direct materials 639 Direct labor coa 197 Direct labor-hour Compute Mr. Wilkes total job cost 3. If Speedy establishes its selling prices using a markup percentage of 40% of its total job cost, then how much would it have charged Mr. Wilkes? 4 Complete the question by entering your answers in the tabs given below. Required 1 Required Required 3 If Speedy establishes its selling prices using a markup percentage of 40% of its total job cost, then how much would it have charged Mr. Wilkes? (Round your intermediate calculations to 2 decimal places) Amount charged to Mr. Wikos

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

Primary English Audit And Test

Authors: Sue Reid, Angela Sawyer, Mary Bennett-Hartley

4th Edition

1446282759, 978-1446282755

More Books

Students also viewed these Accounting questions

Question

Describe the seven standard parts of a letter.

Answered: 1 week ago

Question

Explain how to develop effective Internet-based messages.

Answered: 1 week ago

Question

Identify the advantages and disadvantages of written messages.

Answered: 1 week ago