Bret's RV Manufacturing uses job order costing to account for it's manufacturing costs. The company estimates total manufacturing overhead costs for the coming year to be $282,783. The total direct materials costs are estimated to be $784,555. The total direct labor hours are estimated to be 67.670 hours with direct labor costs estimated at $541,365. What is the Predetermined Overhead rate if the company applies overhead based on direct labor hours? O52.24% 36.04% O417.89% O23.93% 4,18%

Bret's RV Manufacturing uses job order costing to account for it's manufacturing costs. The company estimates total manufacturing overhead costs for the coming year to be $282,783. The total direct materials costs are estimated to be $784,555. The total direct labor hours are estimated to be 67.670 hours with direct labor costs estimated at $541,365. What is the Predetermined Overhead rate if the company applies overhead based on direct labor hours? O52.24% 36.04% O417.89% O23.93% 4,18%

Name: Bret's RV Manufacturing uses job order costing to account for it's ma
Uploaded: 2024-03-20T06:33:06.000Z
Channel: Bartleby
Description: Bret's RV Manufacturing uses job order costing to account for it's manufacturing costs. The company estimates total manufacturing overhead costs for thecoming year to be $282,783. The total direct materials costs are estimated to be $784,555. The to

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

How can I calculate this problem? Fickel Company has two manufacturing departments—Assembly and Testing & Packaging. The predetermined overhead rates in Assembly and Testing & Packaging are $22.00 per direct labor-hour and $18.00 per direct labor-hour, respectively. The company’s direct labor wage rate is $24.00 per hour. The following information pertains to Job N-60: Assembly Testing & Packaging Direct materials $ 390 $ 45 Direct labor $ 228 $ 132 Required: 1. What is the total manufacturing cost assigned to Job N-60? 2. If Job N-60 consists of 10 units, what is the unit product cost for this job?
Harwood Company uses a job-order costing system that applies overhead cost to jobs on the basis of machine-hours. The company's predetermined overhead rate of $2.30 per machine-hour was based on a cost formula that estimates $213,900 of total manufacturing overhead for an estimated activity level of 93,000 machine-hours. Required: 1. Assume that during the year the company works only 88,000 machine-hours and incurs the following costs in the Manufacturing Overhead and Work in Process accounts: Compute the amount of overhead cost that would be applied to Work in Process for the year and make the entry in your T-accounts. 2A. Compute the amount of underapplied or overapplied overhead for the year and show the balance in your Manufacturing Overhead T-account. 2B. Prepare a journal entry to close the company's underapplied or overapplied overhead to Cost of Goods Sold.
Refer to the previous question. Give the journal entry to adjust the Manufacturing Overhead account for overallocated or underallocated overhead. Reference Question. If a company incurred $5,250 in actual overhead costs and allocated $5,575 to jobs, was the overhead overallocated or underallocated? By how much?
Harwood Company uses a Job-order costing system that applies overhead cost to Jobs on the basis of machine-hours. The company's predetermined overhead rate of $2.60 per machine-hour was based on a cost formula that estimates $260,000 of total manufacturing overhead for an estimated activity level of 100.000 machine-hours. Required: 1. Assume that durling the year the company works only 95,000 machine-hours and incurs the following costs In the Manufacturing Overhead and Work in Process accounts: Compute the amount of overhead cost that would be applied to Work In Process for the year and make the entry In your T-accounts. 2A. Compute the amount of underapplied or overapplied overhead for the year and show the balance In your Manufacturing Overhead T-account. 28. Prepare a Journal entry to close the company's underapplied or overappled overhead to Cost of Goods Sold. Complete this question by entering your answers in the tabs belovw. Req 1 Req 2A Req 28 Compute the amount of overhead…
Epsilon Manufacturing Company uses a predetemined manufacturing overhead rate based on a percentage of direct labor cost. At the beginning of 2018, they estimated total manufacturing overhead costs at $1, 015,000, and they estimated total direct labor costs at $1, 400,000. The administration and selling overheads are to be absorbed in each job cost at 15% of production cost. Distribution cost should be added to each job according to quotes from outside carriage companies. The company wishes to quote for job # W500. Data for the job are as follows: %23 Direct materials cost Direct labour cost Direct labour hours Special Design Cost Distribution quote from haulage company Units of product produced S169.450 $230,000 400 hours $12,300 $17,930 250 crates a) Compute Epsilon Manufacturing Company predetermined manufacturing overhead rate for 2018. b) How much manufacturing overhead was allocated to Job #W500? c) Calculate the total cost & quotation price of Job #W500, given that a margin of…
XYZ Company uses a job costing system and applies manufacturing overhead using a predetermined overhead rate based on direct labor hours. Information for the current year is as follows: Estimated manufacturing overhead OMR65,000; Actual manufacturing overhead OMR63,000; Estimated direct labor hours 20,000; Actual direct labor hours 22,000. The amount of over- or underapplied overhead for the year was Select one: O a. OMR2,000 overapplied O b. OMR2,000 underapplied c. None of the answers given d. OMRZ500 overapplied e. OMR8,500 underapplied 1 OMR8,500 overapplied
Use the following information to answer questions. (Algo) [The following information applies to the questions displayed below.] The following information is available for ADT Company, which produces special-order security products and uses a job order costing system. Overhead is applied using a predetermined overhead rate of 55% of direct labor cost. Inventories Raw materials Work in process Finished goods Beginning of period Cost incurred for the period Raw materials purchases Factory payroll Factory overhead (actual) $ 41,000 9,200 50,000 Indirect materials used Indirect labor used Other overhead costs End of Period $ 42,000 20,700 33,700 $ 176,000 150,000 8,000 34,500 117,500 Exercise 15-14 (Algo) Recording direct and indirect labor LO P2, P3 1. Direct labor used (recorded as factory wages payable). 2. Indirect labor used (recorded as factory wages payable). Prepare journal entries for the above transactions for the period.
Arabica Manufacturing uses a predetermined overhead allocation rate based on the number of machine hours. At the beginning of the year, it estimated total manufacturing overhead costs to be $1,040,000, total number of direct labor hours to be 4,500, and total number of machine hours to be 24,000 hours. What was the predetermined overhead allocation rate? (Round your answer to the nearest cent.) A. $36.49 per direct labor hour B. $231.11 per machine hour C. $53.33 per direct labor hour D. $43.33 per machine hour
Epsilon Manufacturing Company uses a predetermined manufacturing overhead rate based on a percentage of direct labor cost. At the beginning of 2018, they estimated total manufacturing overhead costs at sı,015,000, and they estimated total direct labor costs at $1,400,000. The administration and selling overheads are to be absorbed in each job cost at 15% of production cost. Distribution cost should be added to each job according to quotes from outside carriage companies. The company wishes to quote for job # W500. Data for the job are as follows: Direct materials cost $169.450 Direct labour cost $230,000 Direct labour hours 400 hours Special Design Cost Distribution quote from haulage company Units of product produced $12,300 $17,930 250 crates a) Compute Epsilon Manufacturing Company predetermined manufacturing overhead rate for 2018. b) How much manufacturing overhead was allocated to Job #W500? c) Calculate the total cost & quotation price of Job #W500, given that a margin of 25% is…
Please refer to the picture. The following information is available for ADT Company, which produces special-order security products and uses a job order costing system. Overhead is applied using a predetermined overhead rate of 55% of direct labor cost.