Problem 4.1: West Manufacturing Inc. (WMI) operates a job-order cost system and applies overhead on the basis of direct labor hours. When preparing the budget for the upcoming fiscal year, the following budget items determined: (1) overhead = $150,000, (2) direct labor hours (DLH) = 8,000 and (3) direct labor dollars (DL$) = $60,000. 田 Raw materials (RM) Work in process (WIP) Finished goods (FG) Beginning Inventory $21,000 $86,000 $108,000 Ending Inventory $16,000 $71,500 $58,000 Actual results: Actual sales $650,000 $133,000 $160,000 Purchases Direct labor $s Direct labor hours 10,000 $108,000 $165,500 S&A Actual MOH Required: 1. Compute WMI's predetermined overhead rate, applied overhead, and over/under applied overhead. 2. Compute net income using before and after the over/under applied overhead adjustment. 3. Using the Cost Flow Worksheet, compute the inventory turnovers for each inventory 4. Compute cost of Job 160, where the job required direct labor of $1,200 direct labor hours (average pay rate = $12.00), and direct material of $4,000.

ll. Subject : - Accounting

Problem #1. ABC Corporation uses a job-order costing system with a plantwide overhead rate based on machine-hours. At the beginning of the year, the company made the following estimates: Machine hours required to support estimated production 150,000 Manufacturing overhead costs ₱1,350,000 Required: 1.Compute the predetermined overhead rate. 2.During the year, Job 500 was started and completed. The following information was available with respect to this job: Direct materials requisitioned ₱350 Direct labor cost ₱230 Machine hours used 30 Compute the total manufacturing costs assigned to Job 500. 3.During the year the company worked a total of 147,000 machine-hours on all jobs and incurred actual manufacturing overhead costs of ₱1,325,000. What is the amount of underapplied or overapplied overhead for the year?

Overhead Applied to Jobs, Departmental Overhead Rates Xania Inc. uses a normal job-order costing system. Currently, a plantwide overhead rate based on machine hours is used. Xania's plant manager has heard that departmental overhead rates can offer significantly better cost assignments than a plantwide rate can offer. Xania has the following data for its two departments for the coming year: Overhead costs (expected) Normal activity (machine hours) Required: Department A Department B 1. Compute a predetermined overhead rate for the plant as a whole based on machine hours. Round your answer to two decimal places. 5.75 ✔per machine hour Plantwide 2. Compute predetermined overhead rates for each department using machine hours. (Note: Round to two decimal places, if necessary.) 8.28 ✔ per machine hour 2.89✔ per machine hour Departmental $ 3. Conceptual Connection: Job 73 used 20 machine hours from Department A and 50 machine hours from Department B. Job 74 used 50 machine hours from…

23. Using the activity-based costing method of applying manufacturing overhead, the amount of overhead applied to Job #414 would be: A) $29,600 B) $17,412 C) $34,824 $59,200 E) $36,000 24. Using the POHR based on direct labor hours, the amount of overhead costs applied to Job#414 would be: A) $36,000 B) $34,824 $17,412 D) $29,600 E) $59,200

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Problem #4:Gitano Products operates a job-order costing system and applies overhead cost to jobs on the basis of direct materials used in production (not on the basis of raw materials purchased.) In computing a predetermined overhead rate at the beginning of the year, the company’s estimates were: manufacturing overhead cost, $800,000; and direct materials to be used in production, $500,000. The company has provided the following data :BeginningEndingRaw materials$20,000$80,000Work in Process150,00070,000Finished Goods260,000400,000The following actual costs were incurred during the year:Purchase of direct raw materials $510,000Direct labor cost90,000Manufacturing overhead costs:   4Indirect labor170,000Property taxes48,000Depreciation-equipment260,000Maintenance95,000Insurance7,000Rent -Building180,000Required: 1.a. Compute the predetermined overhead rate for the yearb. Compute the amount of under-or over-applied overhead for the year.1.Prepare the statement of cost of goods…

Actual costing, normal costing, accounting for manufacturing overhead. Dakota Products uses a job-costing system with two direct-cost categories (direct materials and direct manufacturing labor) and one manufacturing overhead cost pool. Dakota allocates manufacturing overhead costs using direct manufacturing labor costs. Dakota provides the following information:                                                    Budget for 2017       Actual Results for 2017 Direct material costs                            $2,250,000                        $2,150,000 Direct manufacturing labor costs         1,700,000                            1,650,000 Manufacturing overhead costs              3,060,000                           3,217,500 Q. Compute the actual and budgeted manufacturing overhead rates for 2017.