tion 3 Qui et ered 1 d out of Strange and Weird Limited has three departments - (1) Plush Rooster; (2) Frames; and (3) Camper. The company uses a job-order costing system. The company management - led by Not Very Smart Mitchell - have decided for the coming year (that is, 2024) that predetermined overhead rates will be determined at the department level. The Plush Rooster Department will base its pre-determined rate on direct labour hours; the Frames Department on direct moulding machine hours; and the Camper Department will base its pre-determined rate on direct stuffing machine hours. At the beginning of the year, the company made the following total estimates of expected production, and production costs: Department Fini 9 on Plush Rooster Frames Camper Direct Labour Hours 48,000 5,000 1,500 2,000 500 27,000 Direct Stuffing Machine Hours Direct Moulding Machine Hours Total Fixed Manufacturing Overhead Cost 750 36,000 6,000 $350,000 $580,000 $130,000 $6.00 $6.00 $6.00 Total Variable Manufacturing Overhead per Labour Hour Total Variable Manufacturing Overhead per Stuffing Machine Hour $10.00 $10.00 $10.00 Total Variable Manufacturing Overhead per Moulding Machine Hour $7.00 $7.00 $7.00 During the year, the company completed Job #4444. The job cost sheet for Job #4444 is shown as follows: During the year, the company completed Job #4444. The job cost sheet for Job #4444 is shown as follows: Department Plush Rooster Frames Camper Direct Labour Hours 140 50 5 14 12 290 Direct Stuffing Machine Hours Direct Moulding Machine Hours 60 150 21 Direct Labour Costs $29,840 $8,256 $15,870 Direct Material Requisitioned $4,650 $8,145 $2,781 Required: 1. Calculate the pre-determined overhead rate for 2024 if the company used a plantwide basis based on direct labour hours. [3 Marks) 2. Calculate the total manufacturing cost assigned to Job #4444 if pre-determined overhead rates are computed on a department basis. [6 Marks] Paragraph 11 tion 3 Qui et ered 1 d out of Strange and Weird Limited has three departments - (1) Plush Rooster; (2) Frames; and (3) Camper. The company uses a job-order costing system. The company management - led by Not Very Smart Mitchell - have decided for the coming year (that is, 2024) that predetermined overhead rates will be determined at the department level. The Plush Rooster Department will base its pre-determined rate on direct labour hours; the Frames Department on direct moulding machine hours; and the Camper Department will base its pre-determined rate on direct stuffing machine hours. At the beginning of the year, the company made the following total estimates of expected production, and production costs: Department Fini 9 on Plush Rooster Frames Camper Direct Labour Hours 48,000 5,000 1,500 2,000 500 27,000 Direct Stuffing Machine Hours Direct Moulding Machine Hours Total Fixed Manufacturing Overhead Cost 750 36,000 6,000 $350,000 $580,000 $130,000 $6.00 $6.00 $6.00 Total Variable Manufacturing Overhead per Labour Hour Total Variable Manufacturing Overhead per Stuffing Machine Hour $10.00 $10.00 $10.00 Total Variable Manufacturing Overhead per Moulding Machine Hour $7.00 $7.00 $7.00 During the year, the company completed Job #4444. The job cost sheet for Job #4444 is shown as follows: During the year, the company completed Job #4444. The job cost sheet for Job #4444 is shown as follows: Department Plush Rooster Frames Camper Direct Labour Hours 140 50 5 14 12 290 Direct Stuffing Machine Hours Direct Moulding Machine Hours 60 150 21 Direct Labour Costs $29,840 $8,256 $15,870 Direct Material Requisitioned $4,650 $8,145 $2,781 Required: 1. Calculate the pre-determined overhead rate for 2024 if the company used a plantwide basis based on direct labour hours. [3 Marks) 2. Calculate the total manufacturing cost assigned to Job #4444 if pre-determined overhead rates are computed on a department basis. [6 Marks] Paragraph 11
