Factory Overhead Rates, Entries, and Account Balance Sundance Solar Company operates two factories. The company applies factory overhead to jobs on the basis of machine hours in Factory 1 and on the basis of direct labor hours in Factory 2. Estimated factory overhead costs, direct labor hours, and machine hours are as follows:   Factory 1 Factory 2 Estimated factory overhead cost for fiscal         year beginning March 1 $969,240   $539,400   Estimated direct labor hours for year   9,300   Estimated machine hours for year 23,640     Actual factory overhead costs for March $77,330   $46,770   Actual direct labor hours for March   840   Actual machine hours for March 1,840     a.  Determine the factory overhead rate for Factory 1.$ per machine hour b.  Determine the factory overhead rate for Factory 2.$ per direct labor hour c.  Journalize the entries to apply factory overhead to production in each factory for March. Factory 1               Factory 2               d.  Determine the balances of the factory overhead accounts for each factory as of March 31, and indicate whether the amounts represent overapplied factory overhead or underapplied factory overhead. Factory 1 $     Factory 2 $

Entries for Costs in a Job Order Cost System Royal Technology Company uses a job order cost system. The following data summarize the operations related to production for March: Materials purchased on account, $604,590. Materials requisitioned, $507,860, of which $66,020 was for general factory use. Factory labor used, $622,730, of which $118,320 was indirect. Other costs incurred on account for factory overhead, $145,100; selling expenses, $223,700; and administrative expenses, $133,010. Prepaid expenses expired for factory overhead were $27,810; for selling expenses, $23,580; and for administrative expenses, $16,930. Depreciation of factory equipment was $27,810; of office equipment, $41,110; and of office building, $81,020. Factory overhead costs applied to jobs, $344,620. Jobs completed, $798,060. Cost of goods sold, $773,880. Required: Journalize the entries to record the summarized operations. If an amount box does not require an entry, leave it blank.   a.  Materials purchased…

Predetermined Factory Overhead Rate Novus Engine Shop uses a job order cost system to determine the cost of performing engine repair work. Estimated costs and expenses for the coming period are as follows: Engine parts $767,200 Shop direct labor 560,000 Shop and repair equipment depreciation 68,500 Shop supervisor salaries 190,400 - Shop property taxs 34,600 Shop supplies 26,500 Advertising expense 15,300 . Administrative office salaries 66,000 Administrative office depreciation expense 8,400 Total costs and expenses $1,736,900 The average shop direct labor rate is $14 per hour. Determine the predetermined shop overhead rate per direct labor hour. Round your answer to the nearest cent. %24 per direct labor hour

Entries for Direct Labor and Factory Overhead Schumacher Industries Inc. manufactures recreational vehicles. Schumacher Industries uses a job order cost system. The time tickets from June jobs are summarized as follows: Job 11-101 Job 11-102 Job 11-103 Job 11-104 Job 11-105 Factory supervision Factory overhead is applied to jobs on the basis of a predetermined overhead rate of $30 per direct labor hour. The direct labor rate is $14 per hour. $2,040 1,380 1,090 1,680 1,090 950 a. Journalize the entry to record the factory labor costs. If an amount box does not require an entry, leave it blank. Work in Process Factory Overhead Wages Payable Work in Process Factory Overhead ✓ 7,280 950 ✓ b. Journalize the entry to apply factory overhead to production for June. If an amount box does not require an entry, leave it blank. 17.30 X 8,230 17.30 X