Landow Industries uses a job-order cost system. The company applies manufacturin
ID: 2365344 • Letter: L
Question
Landow Industries uses a job-order cost system. The company applies manufacturing overhead to jobs using a predetermined overhead rate based on direct labor hours. The estimated MOH was $136,000 for the year and the estimated direct labor hours were 16,000 hours. In June, Job # 325 was completed. Direct materials totaled $5,700. Total labor costs were $3,600 at $12 per hour. At the end of the year, it was determined that the company worked 15,000 direct labor hours for the year, and incurred $133,000 in actual manufacturing overhead costs. Required: a- Calculate the predetermined overhead rate for year. b- Determine the amount of overhead charged to jobs during the year. c- Determine the amount of under- or over-applied overhead for the year. d- Prepare a job cost sheet for Job # 325 using information given. Assuming that 80 units were completed, determine the unit product cost. Can some one help me with part d of the question. what is the correct answer? 9980 or 307500 5700 + 3600 + 8.5 x 80 = 9980 or 15000 x 12 = 18000 Manufacutr overheads = 127000. 18000 + 127000 = 307500Explanation / Answer
Landow Industries uses a job-order cost system. The company applies manufacturing overhead to jobs using a predetermined overhead rate based on direct labor hours. The estimated MOH was $136,000 for the year and the estimated direct labor hours were 16,000 hours. In June, Job # 325 was completed. Direct materials totaled $5,700. Total labor costs were $3,600 at $12 per hour. At the end of the year, it was determined that the company worked 15,000 direct labor hours for the year, and incurred $133,000 in actual manufacturing overhead costs. Required: a- Calculate the predetermined overhead rate for year. b- Determine the amount of overhead charged to jobs during the year. c- Determine the amount of under- or over-applied overhead for the year. d- Prepare a job cost sheet for Job # 325 using information given. Assuming that 80 units were completed, determine the unit product cost. Accounting
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