ctdenterwin-yes MANAGERIAL ACCOUNTING 101 SU 1 2018 abdullah aliyu & 614/18 3:23
ID: 2390729 • Letter: C
Question
ctdenterwin-yes MANAGERIAL ACCOUNTING 101 SU 1 2018 abdullah aliyu & 614/18 3:23 PM Quiz: Ch 4 QUIZ Time Limit:01 15.00 Submit Quiz This Question: 40 pts 2 of 2 (0 complete) This Quiz: 100 pls possible Southeast, Inc. is a technology consulting firm focused on Web site development and integration of Internet business applications. The president of the company expects to incur $580,000 of indirect costs this year, and she expects her r to work 4,000 dire t labor hours Southeast's systems consultants o de direct abor at a rate of S per hour e s are billed at % of dir e b dat tast n s east on ultnt tenia hun Vanpelt's engagement Requirements 1. Compute Southeast's predetermined overhead allocation rate per direct labor hour 2. Compute the total cost assigned to the Vanpelt engagement 3. Compute the operating income from the Vanpelt engagement. Requirement 1. Compute Southeast's predetermined overhead allocation rate per direct labor hour Select the formula, then enter the amounts to calculate the predetermined overhead (OH) allocation rate Predetermined OH :-.. i allocation rate Requirement 2. Compute the total cost assigned to the Vanpelt engagement Begin by selecting the formula to calculate the overhead costs assigned to the engagement Allocated avarhead costs Now compute the total cost assigned to the Vanpelt engagement 323 PM Choose from any list or enter any number in the input fields and then continue to me next question 0 Type here to searchExplanation / Answer
1) Predetermined overhead per direct labor hour :-
= Indirect Costs / Direct Labor Hours
= $580000 / 4000 H
= $145 per hour
2) Total Cost of Vanpelt engagement :-
= Direct Labor Cost + Overhead Cost
= (140 H * $350) + (140 H * $145)
= $49000 + $20300
= $69300
3) Operating Income of Vanpelt engagement :-
= Total Revenue - Total Cost
= (170% * $49000) - $69300
= $83300 - $69300
= $14000
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.