Sarasota Company is preparing its manufacturing overhead budget for 2022. Relevant data consist of the following. Quarterly units production: Q1-9,800, Q2-11,100, Q3-13,000, Q4-15,400. Direct labor: Labor required is 1 hour per unit. Variable overhead costs per direct labor hour: Indirect materials $0.80; indirect labor $1.10; and maintenance $0.50. Fixed overhead costs per quarter: Supervisory salaries $40,500; depreciation $16,700; and maintenance $11,000. Prepare the manufacturing overhead budget for the year, showing quarterly data. (List variable costs before fixed costs.) First Quarter SARASOTA COMPANY Manufacturing Overhead Budget Second Quarter 1 Q₁

Sarasota Company is preparing its manufacturing overhead budget for 2022. Relevant data consist of the following. Quarterly units production: Q1-9,800, Q2-11,100, Q3-13,000, Q4-15,400. Direct labor: Labor required is 1 hour per unit. Variable overhead costs per direct labor hour: Indirect materials $0.80; indirect labor $1.10; and maintenance $0.50. Fixed overhead costs per quarter: Supervisory salaries $40,500; depreciation $16,700; and maintenance $11,000. Prepare the manufacturing overhead budget for the year, showing quarterly data. (List variable costs before fixed costs.) First Quarter SARASOTA COMPANY Manufacturing Overhead Budget Second Quarter 1 Q₁

Financial And Managerial Accounting

15th Edition

ISBN:9781337902663

Author:WARREN, Carl S.

Publisher:WARREN, Carl S.

Chapter19: Support Department And Joint Cost Allocation

Section: Chapter Questions

Problem 2CMA: Adam Corporation manufactures computer tables and has the following budgeted indirect manufacturing...

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A company estimates its manufacturing overhead will be $750,000 for the next year. What is the predetermined overhead rate given the following independent allocation bases? Budgeted direct labor hours: 60,000 Budgeted direct labor expense: $1,500,000 Estimated machine hours: 100,000
Nashler Company has the following budgeted variable costs per unit produced: Budgeted fixed overhead costs per month include supervision of 98,000, depreciation of 76,000, and other overhead of 245,000. Required: 1. Prepare a flexible budget for all costs of production for the following levels of production: 160,000 units, 170,000 units, and 175,000 units. 2. What is the per-unit total product cost for each of the production levels from Requirement 1? (Round each unit cost to the nearest cent.) 3. What if Nashler Companys cost of maintenance rose to 0.22 per unit? How would that affect the unit product costs calculated in Requirement 2?
Adam Corporation manufactures computer tables and has the following budgeted indirect manufacturing cost information for the next year: If Adam uses the step-down (sequential) method, beginning with the Maintenance Department, to allocate support department costs to production departments, the total overhead (rounded to the nearest dollar) for the Machining Department to allocate to its products would be: a. 407,500. b. 422,750. c. 442,053. d. 445,000.
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