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Task Fourteen Braegelmann Corporation has two production departments, Casting and Assembly. The company uses a job-order costing system and computes a predetermined overhead rate in
Task Fourteen Braegelmann Corporation has two production departments, Casting and Assembly. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Casting Department's predetermined overhead rate is based on machine-hours and the Assembly Department's predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates: Machine-hours Direct labor-hours Total fixed manufacturing overhead cost Variable manufacturing overhead per machine-hour Variable manufacturing overhead per direct labor-hour Casting 20,000 4,000 $110,000 $1.60 Assembly 14,000 6,000 $65,400 $4.50 During the current month the company started and finished Job K246. The following data were recorded for this job: Assembly 30 Job K246: Machine-hours Direct labor-hours Direct materials Direct labor cost Casting 60 20 $950 $460 40 $305 $920 Required: a. Calculate the estimated total manufacturing overhead for the Casting Department. b. Calculate the estimated total manufacturing overhead for the Assembly Department. c. Calculate the predetermined overhead rate for the Casting Department. d. Calculate the predetermined overhead rate for the Assembly Department. e. Calculate the amount of overhead applied in the Casting Department to Job K246. f. Calculate the amount of overhead applied in the Assembly Department to Job K246. g. Calculate the total job cost for Job K246. h. Calculate the selling price for Job K246 if the company marks up its unit product costs by 40% to determine selling prices
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