Question

omework Required 0 Saved Exercise 2-4 Computing Total Job Costs and Unit Product Costs Using Multiple Predetermined Overhead Rates (LO2-4) Fickel Company has two manufacturing departments Assembly and Testing & Packaging. The predetermined overhead rates in Assembly and Testing & Packaging are $32.00 per direct labor-hour and $28.00 per direct labor-hour, respectively. The company direct labor wage rate is $34.00 per hour. The following information pertains to Job N-60: Direct materials Direct labor Assembly $440 $493 Testing & Packaging $ 65 $187 Required: 1. What is the total manufacturing cost assigned to Job N-60? (Do not round intermediate calculations.) 2. If Job N-60 consists of 10 units, what is the unit product cost for this job? (Do not round intermediate calculations. Round your answer to 2 decimal places.) 1. Total manufacturing cost 2. Unit product cost < Prev 4 of 9 Next >

Answer 1

Direct labor rate = direct labor/direct labor wages rate
assembly = 493/34 = 14.5
testing & packaging = 187/34 = 5.5
1) Manufacturing cost per unit
Direct material (440+65)				505
Direct labor (493+187)				680
overhead applied
assembly (14.5*32)				464
testing & packaging (5.5*28)				154
Total manufacturing cost				1803
2) Unit product cost
Total manufacturing cost				1803
Units				10
Unit product cost (1803/10)				180.3

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