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Wesson Company is a consulting firm. The firm expects to have $45,000 in indirect costs during the year and bill customers for 6,000 hours. The
Wesson Company is a consulting firm. The firm expects to have $45,000 in indirect costs during the year and bill customers for 6,000 hours. The cost of direct labor is $75 per hour. 18. Calculate the predetermined overhead allocation rate for Wesson using estimated billable hours for the allocation base. 19. Wesson completed a consulting job for George Peterson and billed the customer for 15 hours. What was the total cost of the consulting job? 20. If Wesson wants to earn a profit equal to 60% of the cost of a job, how much should the company charge Mr. Peterson? Wesson Company Total Cost of the Peterson Job Indirect costs hrs. x = + Direct labor hrs x Total costRoosevelt Company completed jobs that cost $40,000 to produce. In the same period, the company sold jobs for $32,000 that cost $45,500 to produce. Prepare the journal entries {or the completion and sales oi the jobs. All sales are on account. [Record debits first, then credits. Select the explanation on the last line of the journal entry table.) Prepare the journal entryr to record the completion of jobs. Accounts and Explanations Accounts Receivable I Sales Revenue I Cost of Goods Sold Finished Goods Inventory New York Enterprises reports the following information at December 31, 2024: (Click the icon to view the information.) - X Read the requirements. Data table . . . Manufacturing Overhead Requirement 1. What is the actual manufacturing overhead of New York Enterprises? 3.800 55,500 13,000 The actual manufacturing overhead of New York Enterprises is 37,500Blake Accounting pays Ryan Johnson $95,400 per year. Assume that Blake's accountants are expected to work a total of 6,000 direct labor hours in 2024. Blake's estimated total indirect costs are $384,000 and the allocation base used is direct labor hours. Read the requirements. Requirement 1. What is Blake's predetermined overhead allocation rate? = Predetermined overhead allocation rate
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