Textra produces parts for a machine manufacturer. Parts go through two departments, Molding and Trimming. The...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Textra produces parts for a machine manufacturer. Parts go through two departments, Molding and Trimming. The company budgets overhead cost of $240,000 in the Molding department and $200,000 in the Trimming department. The company budgets 16,000 machine hours (MH) in Molding and 25,000 direct labor hours (DLH) in Trimming. Actual production information follows. Part Z Number of Units 3,000 Molding Department Hours per Unit Total Hours 2.0 MH per unit Part X Totals 4,000 2.5 MH per unit 6,000 MH 10,000 MH 16,000 MH Trimming Department Hours per Unit 3 DLH per unit Total Hours 9,000 DLH 4 DLH per unit 16,000 DLH 25,000 DLH Required: 1. Compute the plantwide overhead rate using direct labor hours as the allocation base. 2. Determine the overhead cost per unit for each part using the plantwide rate. Textra produces parts for a machine manufacturer. Parts go through two departments, Molding and Trimming. The company budgets overhead cost of $240,000 in the Molding department and $200,000 in the Trimming department. The company budgets 16,000 machine hours (MH) in Molding and 25,000 direct labor hours (DLH) in Trimming. Actual production information follows. Part Z Number of Units 3,000 Molding Department Hours per Unit Total Hours 2.0 MH per unit Part X Totals 4,000 2.5 MH per unit 6,000 MH 10,000 MH 16,000 MH Trimming Department Hours per Unit 3 DLH per unit Total Hours 9,000 DLH 4 DLH per unit 16,000 DLH 25,000 DLH Required: 1. Compute the plantwide overhead rate using direct labor hours as the allocation base. 2. Determine the overhead cost per unit for each part using the plantwide rate.
Expert Answer:
Answer rating: 100% (QA)
Solution 1 Plantwide overhead rate using direct labor hours as ... View the full answer
Posted Date:
Students also viewed these accounting questions
-
Brian is the Vice president of administration of Super Tech. She notices that a trend has developed where managers have started passing things by the lawyer when they are not sure whether a legal...
-
Are there any reasons why the universities may prefer to keep their relationships with their students as a long-term commitment? Discuss.
-
"Discuss the role of Total Quality Management ( TQM ) in enhancing operational efficiency in a manufacturing company. How can TQM practices lead to improved product quality and customer...
-
The balance sheet data for Alans Lightworks, Corp., at August 31, 2012, and September 30, 2012, follow: Requirement 1. The following are three independent assumptions about the business during...
-
One operator services a group of five machines. Machine run time and service durations are both Exponential. Machines run for an average of 90 minutes after a service, and service duration averages...
-
In general, what are the pros and cons of decentralization?
-
The April 2000 issue of the Journal of Accountancy contains an article by Lawrence B. Macgregor Serval entitled "The Planning Peril Instructions Read the article and answer the following questions....
-
Thibodeau Company has the following merchandise account balances: Sales Revenue $195,000, Sales Discounts $2,000, Cost of Goods Sold $117,000, and Inventory $40,000. Prepare the entries to record the...
-
At the beginning of a walk, Roberto and Juanita are 6.6 miles apart. If they leave at the same time and walk in the same direction, Roberto overtakes Juanita in 11 hours. If they walk towards each...
-
Carla Vista Corporation sold equipment for $59000. The equipment had an original cost of $148000 and accumulated depreciation of $78000. Ignoring the tax effect, as a result of the sale O net income...
-
How to use the result of strategic thinking It is logic and creation from n of stratified sense It is logical to form strategic options It is logic in an organization from n . Focuses on the process...
-
1. (30 pts) El tubo horizontal del a figura 1 tiene una rea transversal 50 cm en la parte ms ancha y de 12 cm en la parte angosta. Fluye agua en el tuvo, cuyo caudal es de Q = 4L/s, calcular la...
-
How can the principles of de-escalation be effectively applied in resolving interpersonal conflicts within complex organizational structures?
-
Identify and describe different medical claims created byhealthcareproviders that are submitted to insurance companies for payment. Why is it important for healthcare administrators to be very...
-
How Kodak found, and the video the decline of Kodak in the resources? What happened leading up to the bankruptcy of Kodak? How did group think contribute to decision - making failures? How could this...
-
the longer a person is dead before being found, the less accurate a time of death estimation can be made. For example, death estimations of a person found within 12 hours of being dead is easier to...
-
A business had revenues of $280,000 and operating expenses of $315,000. Did the business (a) Incur a net loss (b) Realize net income?
-
The production budget for cars for May (in units) is a. 6,500 b. 11,000 c. 4,500 d. 10,100
-
The total cost of goods sold for June is a. $103,500 b. $128,800 c. 57,500 d. \($232,300\) Munch Enterprises makes a small toy car that is voice activated. Projected sales for the next four months...
-
What is Munchs expected profit for April? a. $192,500 b. $56,000 c. $66,000 d. $59,000
Study smarter with the SolutionInn App