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Saved mework #2 0 Exercise 2-12 computing Predeterminea overhead Rates and JoD c

ID: 2332454 • Letter: S

Question

Saved mework #2 0 Exercise 2-12 computing Predeterminea overhead Rates and JoD costs [LO2-1, LOZ-2, Lo2-3 Moody Corporation uses a job-order costing system with a plantwide predetermined 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 160,800 Fixed manufacturing overhead cost Variable manufacturing overhead cost per machine-hour 4.10 $651,00 Required: 1. Compute the plantwide predetermined overhead rate. 2 During the year, Job 400 was started and completed. The following information was available with respect to this job: Direct materials Direct labor cost Machine-hours used $310 $ 270 30 s Compute the total manufacturing cost assigned to Job 400 3. If Job 400 includes 60 units, what is the unit product cost for this job? 4. If Moody uses a markup percentage of 110% of its total manufacturing cost, then what selling price per unit would it have established for Job 400? Complete this question by entering your answers in the tabs below. Required 1 Required 2 Required 3 Required 4 Compute the plantwide predetermined overhead rate. (Round your ansiver to 2 decimal places.) Predetermined overhead rate per MH Required 2 C Prev Next> pe here to search

Explanation / Answer

Answers

Working

Requirement 1

A [given]

Total Fixed Manufacturing Overhead cost

$                                 651,000.00

B [ given]

Total machine hours estimated

                                          160,000

C = A/B

Fixed Overhead rate per machine hour

$                                              4.07

D

Variable manufacturing overhead cost per machine hour

$                                              4.10

E = C+D

Plantwide Predetermined Overhead rate

$                                              8.17

Working

Requirement 2

A

Machine hours used by Job 400

30

B

Plantwide Predetermined Overhead rate

$                                              8.17

C = A x B

Total Overhead cost applied

$                                         245.10

D

Direct Material

$                                         310.00

E

Direct labor cost

$                                         270.00

F = C+D+E

Total manufacturing cost assigned to Job 400

$                                         825.00

Working

Requirement 3

A

Total manufacturing cost assigned to Job 400

$                                         825.00

B

No. of units produced in Job 400

60

C = A/B

Unit Product Cost

$                                           14.00

Working

Requirement 4

A

Unit Product Cost

$                                           14.00

B = A x 110%

Mark Up

$                                           15.4

C = A+B

Selling Price per unit

$                                           29

Working

Requirement 1

A [given]

Total Fixed Manufacturing Overhead cost

$                                 651,000.00

B [ given]

Total machine hours estimated

                                          160,000

C = A/B

Fixed Overhead rate per machine hour

$                                              4.07

D

Variable manufacturing overhead cost per machine hour

$                                              4.10

E = C+D

Plantwide Predetermined Overhead rate

$                                              8.17

Working

Requirement 2

A

Machine hours used by Job 400

30

B

Plantwide Predetermined Overhead rate

$                                              8.17

C = A x B

Total Overhead cost applied

$                                         245.10

D

Direct Material

$                                         310.00

E

Direct labor cost

$                                         270.00

F = C+D+E

Total manufacturing cost assigned to Job 400

$                                         825.00

Working

Requirement 3

A

Total manufacturing cost assigned to Job 400

$                                         825.00

B

No. of units produced in Job 400

60

C = A/B

Unit Product Cost

$                                           14.00

Working

Requirement 4

A

Unit Product Cost

$                                           14.00

B = A x 110%

Mark Up

$                                           15.4

C = A+B

Selling Price per unit

$                                           29

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