1. Rachael R. Production, Inc. had the following data for their manufacturing pr
ID: 2335104 • Letter: 1
Question
1. Rachael R. Production, Inc. had the following data for their manufacturing process: 30,000 hrs Estimated annual machine hours: Actual annual machine hours used: Estimated annual factory overhead: Actual annual factory overhead: Estimated annual production: Actual annual production: Actual factory overhead incurred for the month of December: Actual production for the month of December: Actual machine hours used for the month of December: 32,126 hrs. $75,000 $73,115 150,000 units 142,000 units $8,050 23,000 units 2,663 enin d aee rale ber, if the What was the overhead cost/unit allocated to the units company's predetermined overhead rate is based on machine hours? 2. Parker Manufacturing, Inc, emplovs an at 160% of direct labor cost . d 80 cost Shee shows that $10.000 If 1,000 units of product have been produced on Job 180, what is the unit cost of the product? Job number 3782 had the following data: as been used and that $11,00c in abor has been 3. Direct Labor hours used: Direct Materials used: Hourly wage rate Overhead allocation rate: 32 $250 $15/hr. $5/direct labor hr Assuming this was the only job completed this month, what was the total cost of Job 3782?Explanation / Answer
1) Predetermined overhead rate = Estimated manufacturing overhead cost/Estimated total units in the allocation base Predetermined overhead rate = $75,000/30,000 MH $2.50 Per Machine Hour 2) Amount Cost Per Unit = Amount/1000 Direct Material $10,000.00 $10.00 Direct Labour $11,000.00 $11.00 Direct overhead cost = 11000 x 160% $17,600.00 $17.60 Unit cost of the product $38.60 3) Total Cost of Job 3782 Direct Material $250.00 Direct Labour = $15 x 32 hours $480.00 Direct Overhead = $5 x 32 hours $160.00 Total Cost of Job 3782 $890.00
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.