Question
The following information is used to answer problems 1 through 5: The following transactions occurred in April: 1) Materials purchased: $225,000 2) Materials requisitioned: $210,000.
The following information is used to answer problems 1 through 5:
The following transactions occurred in April:
1) Materials purchased: $225,000
2) Materials requisitioned: $210,000.
- $25,000 of the materials could not be traced to any specific job.
- $35,000 were direct to Job 101.
- $80,000 were direct to Job 102
- $70,000 were direct to Job 103
3) Factory payroll for April: $100,000.
- $10,000 of the labor could not be traced to any specific job
- $20,000 was direct to Job 101.
- $40,000 was direct to Job 102
- $30,000 was direct to Job 103
4) All other factory costs incurred in April: $60,000
5) The basis for allocating overhead to production is machine hours. At the beginning of the year, it was estimated that the company would incur the following amounts for the year:
- Estimated total overhead costs: $900,000
- Estimated total machine hours: 125,000 hours
6) During April, 13,500 machine hours were traced to the following jobs:
- Job 101: 4,000 machine hours
- Job 102: 6,500 machine hours
- Job 103: 3,000 machine hours
What was the predetermined overhead application rate?
$__.__ per machine hour. Use two decimals when recording your answer.
What is the amount of over or underapplied overhead for April? (If the amount is underapplied (dr), show it as a positive number. If the amount is overapplied, show it as a negative number (cr). Round your answer to a whole number (no decimals).)
What is the direct materials cost of Job 101?
What is the direct labor cost for Job 101?
What is the amount of factory overhead applied to Job 101?
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started