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What are the calculations for part B and C? 2. The Kuruvilla Company predicted factory overhead for 2020 and 2021 would be $120,000 for 2021
What are the calculations for part B and C?
2. The Kuruvilla Company predicted factory overhead for 2020 and 2021 would be $120,000 for 2021 would be $100,000. The predicted activity for 2020 and 2021 were 30,000 and 20,000 direct labor hours, respectively. Additional data are as follows: 2020 2021 Sales in units 25.000 25.000 Production in units 31.000 18.000 Selling price per unit $20 $20 Direct materials per unit $9 $9 Direct Labor per unit $10 $10 The actual factory overhead cost for the end of 2020 was $122,000 and for 2021 was $101,000. Assume that it takes one direct labor hour to make one finished unit. Kuruvilla uses NORMAL costing. a. What is the predetermined overhead rate for 2020? Predetermined Fact O/H Rate = Budget/Estimate/Predict Factory O/H Costs Budgeted/Estimated/Predicted Activity b. What is the applied overhead for 2020? = X Applied Factory O/H Predetermined Factory O/H Rate Actual Activity C. What is the product cost per unit for 2020? | Direct Materials per unit + Direct Labor per unit + Applied O/H per unit = Tot Prod Costs per unitStep by Step Solution
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