Kilbourne Appliances produces two models of beverage coolers for homes and offices, the KA-15 and the KA-24. Data on operations and costs for March follow. Units produced Machine-hours Direct labor-hours Direct materials costs Direct labor costs Manufacturing overhead costs Total costs KA-15 KA-24 Total 600 400 360 750 $ 72,000 540 1,750 $ 120,000 1,000 900 2,500 $ 192,000 15,000 35,000 50,000 187,200 $ 429,200 Required: a. Compute the predetermined overhead rate assuming that Kilbourne Appliances uses direct labor costs to allocate overhead costs. Note: Round your answer to 1 decimal place. > Answer is complete but not entirely correct. Predetermined overhead rate 3.7 % of direct labor cost

Steeler Towel Company estimates its overhead to be $250,000. It expects to have 100,000 direct labor hours costing $2,500,000 in labor and utilizing 12,500 machine hours. Calculate the predetermined overhead rate using: A. Direct labor hours B. Direct labor dollars C. Machine hours

Medical Tape makes two products: Generic and Label. It estimates it will produce 423,694 units of Generic and 652,200 of Label, and the overhead for each of its cost pools is as follows: It has also estimated the activities for each cost driver as follows: How much is the overhead allocated to each unit of Generic and Label?

Petrillo Company produces engine parts for large motors. The company uses a standard cost system for production costing and control. The standard cost sheet for one of its higher volume products (a valve) is as follows: During the year, Petrillo had the following activity related to valve production: a. Production of valves totaled 20,600 units. b. A total of 135,400 pounds of direct materials was purchased at 5.36 per pound. c. There were 10,000 pounds of direct materials in beginning inventory (carried at 5.40 per pound). There was no ending inventory. d. The company used 36,500 direct labor hours at a total cost of 656,270. e. Actual fixed overhead totaled 110,000. f. Actual variable overhead totaled 168,000. Petrillo produces all of its valves in a single plant. Normal activity is 20,000 units per year. Standard overhead rates are computed based on normal activity measured in standard direct labor hours. Required: 1. Compute the direct materials price and usage variances. 2. Compute the direct labor rate and efficiency variances. 3. Compute overhead variances using a two-variance analysis. 4. Compute overhead variances using a four-variance analysis. 5. Assume that the purchasing agent for the valve plant purchased a lower-quality direct material from a new supplier. Would you recommend that the company continue to use this cheaper direct material? If so, what standards would likely need revision to reflect this decision? Assume that the end products quality is not significantly affected. 6. Prepare all possible journal entries (assuming a four-variance analysis of overhead variances).

The following product Costs are available for Haworth Company on the production of chairs: direct materials, $15,500; direct labor, $22.000; manufacturing overhead, $16.500; selling expenses, $6,900; and administrative expenses, $15,200. What are the prime costs? What are the conversion costs? What is the total product cost? What is the total period cost? If 7,750 equivalent units are produced, what is the equivalent material cost per unit? If 22,000 equivalent units are produced, what is the equivalent conversion cost per unit?

Kilbourne Appliances produces two models of beverage coolers for homes and offices, the KA-15 and the KA-24. Data on operations and costs for March follow. Units produced Machine-hours Direct labor-hours Direct materials costs Direct labor costs Manufacturing overhead costs Total costs Required: KA-15 a. Predetermined overhead rate b. Predetermined overhead rate 672 360 750 $ 74,400 15,000 KA-24 448 540 1,750 $ 126,000 35,000 Total a. Compute the predetermined overhead rate assuming that Kilbourne Appliances uses direct labor-hours to allocate overhead costs. Note: Round your answer to 2 decimal places. b. Compute the predetermined overhead rate assuming that Kilbourne Appliances uses machine-hours to allocate overhead costs. per direct labor-hour per machine-hour 1,120 900 2,500 $ 200,400 50,000 198,000 $ 448,400

Kilbourne Appliances produces two models of beverage coolers for homes and offices, the KA-15 and the KA-24. Data on operations and costs for March follow. Units produced Machine-hours Direct labor-hours Direct materials costs Direct labor costs Manufacturing overhead costs. Total costs KA-15 a. Predetermined overhead rate Predetermined overhead rate 612 360 750 $ 72,400 15,000 KA-24 408 540 1,750 $ 121,000 35,000 Required: a. Compute the predetermined overhead rate assuming that Kilbourne Appliances uses direct labor-hours to allocate overhead costs. Note: Round your answer to 2 decimal places. b. Compute the predetermined overhead rate assuming that Kilbourne Appliances uses machine-hours to allocate overhead costs. Total 1,020 900 2,500 $ 193,400 50,000 189,000 $ 432,400 per direct labor-hour per machine-hour

Denger

Kilbourne Appliances produces two models of beverage coolers for homes and offices, the KA-15 and the KA-24. Data on operations and costs for March follow. Units produced Machine-hours Direct labor-hours Direct materials costs Direct labor costs Manufacturing overhead costs Total costs Required A Required B Required C Product costs per unit KA-15 Required: a. Compute the individual product costs per unit assuming that Kilbourne Appliances uses the number of units to allocate overhead to the products. b. Compute the individual product costs per unit assuming that Kilbourne Appliances uses direct labor cost. c. Compute the individual product costs per unit assuming that Kilbourne Appliances uses direct material costs to allocate overhead to the products. KA-15 600 360 750 $ 82,000 16,500 KA-24 KA-24 400 540 1,750 $ 130,000 38,500 Compute the individual product costs per unit assuming that Kilbourne Appliances uses the number of units to allocate overhead to the products. Note: Do not…

Tiger Furnishings produces two models of cabinets for home theater components, the Basic and the Dominator. Data on operations and costs for March follow:   Basic Dominator Total Units produced 1,050 450 1,500 Machine-hours 3,800 1,800 5,600 Direct labor-hours 3,600 1,500 5,100 Direct materials costs  $ 11,400  $ 3,400  $   14,800 Direct labor costs  $ 73,800  $39,800  $  113,600 Manufacturing overhead costs      $  181,764 Total costs      $  310,164   Required: Compute the predetermined overhead rate assuming that Tiger Furnishings uses direct labor costs to allocate overhead costs. (Round your answer to 2 decimal places.)