Business, 20.07.2020 01:01 soliseric879

White Company has two departments, Cutting and Finishing. The company uses a job-order costing system and computes a predetermined overhead rate in each department. The Cutting Department bases its rate on machine-hours, and the Finishing Department bases its rate on direct labor-hours. At the beginning of the year, the company made the following estimates: Department
Cutting Finishing
Direct labor-hours 7,700 43,000
Machine-hours 43,400 1,900
Total fixed manufacturing overhead cost $390,000 $496,000
Variable manufacturing overhead per machine-hour 2.00
Variable manufacturing overhead per direct labor-hour $3.75
Required:
1. Compute the predetermined overhead rate for each department.
2. The job cost sheet for Job 203, which was started and completed during the year, showed the following:

Department
Cutting Finishing
Direct labor-hours 3 13
Machine-hours 43 4
Direct materials 745 370
Direct labor costs 43 210
Using the pre-determined overhead rates that you computed in requirement 1, compute the total manufacturing overhead cost assigned to Job 203.
3. Wouid you expect substantially different amounts of overhead cost to be assigned to some jobs if the company used a plantwide pre-determined overhead rate, based on direct labor hours rather than using departmental rates?

Answers: 2

Show answers

Another question on Business

Business, 21.06.2019 20:30

The federal act which provided over $7 billion to the epa to protect and promote "green" jobs and a healthier environment is the - national environmental policy act. - resource recovery act.- resource conservation and recovery act.- american recovery and reinvestment act. - clean air act.

Answers: 1

Answer

Business, 22.06.2019 02:20

Larissa has also provided the following information. during the year, the company raised $36 million in new long-term debt and retired $20.52 million in long-term debt. the company also sold $22 million in new stock and repurchased $32.4 million. the company purchased $54 million in fixed assets, and sold $6,107,400 in fixed assets. larissa has asked dan to prepare the financial statement of cash flows and the accounting statement of cash flows. she has also asked you to answer the following questions: 1. how would you describe east coast yachts' cash flows? 2. which cash flows statement more accurately describes the cash flows at the company? 3. in light of your previous answers, comment on larissa's expansion plans.

Answers: 2

Answer

Business, 22.06.2019 04:00

You are thinking of making your mansion more energy efficient by replacing some of the light bulbs with compact fluorescent bulbs, and insulating part or all of your exterior walls. each compact fluorescent light bulb costs $4 and saves you an average of $2 per year in energy costs, and each square foot of wall insulation costs $1 and saves you an average of $0.20 per year in energy costs.† your mansion has 150 light fittings and 3000 sq ft of uninsulated exterior wall. to impress your friends, you would like to spend as much as possible, but save no more than $750 per year in energy costs (you are proud of your large utility bills). how many compact fluorescent light bulbs and how many square feet of insulation should you purchase? how much will you save in energy costs per year? (if an answer does not exist, enter dne.)

Answers: 1

Answer

Business, 22.06.2019 08:00

Why do police officers get paid less than professional baseball players?

Answers: 2

Answer

You know the right answer?

White Company has two departments, Cutting and Finishing. The company uses a job-order costing syste...

Questions