Question

d) 67% and $5.00 6. Sutter Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on machine hours. The company based its predetermined Overhead rate for the current year on the following data Total machine-hours Total fixed manufacturing overhead cost Variable manufacturing overhead per machine-hour $ $ 10,000 35,000 2.20 Recently, Job T369 was completed with the following characteristics: Number of units in the job Total machine-hours Direct materials Direct labor cost $ $ 750 1.560 If the company marks up its unit product costs by 20% then the selling price for a unit in Job T369 is closest to: (Round your intermediate calculations to 2 decimal places.) a) $324.56 b) $304.56 c) $277.20 d) $50.76 7. Doakes Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on direct labor-hours. The company based its predetermined overhead rate for the current year on the following data: Total direct labor-hours Total fixed manufacturing overhead cost Variable manufacturing overhead per direct labor-hour $ $ 60,000 378,000 2.20 Recently, Job M843 was completed with the following characteristics: Number of units in the job Total direct labor-hours Direct materials Direct labor cost 60 120 630 2,400 $ $

Answer 1

answer page: 0 © selling price per unit Total overheads = fixed overhead + variable over heads = (35000+(2.2X10,000)) - (35000+ 22000) - 57000 Hence overhead rate :($ 57000110.000) = $5.7 1 machine hour Total costs for the job = Dineet materials + Direct labor costs toverheads = 750 +1560 +(5,7x40) = 750 +1560 +298 -$9538 Hence cost/ unit = ($2538110) =ť 253.80 Hence nie selling price lunit = 253.80 x 10 mm = $ 304.56. [option ® is correct