Predetermined overhead rate =Estimated overhead /estimated Direct labor hours
= 10,000,000 / 125,000
=$ 80 per direct labor hours
correct option is "C" -$ 80 per direct labor hour
Beta Corporation is planning operations for the coming year Beta uses normal casting and apples overhead...
Beta Corporation is planning operations for the coming year. Beta uses normal costing and applies overhead on the basis of direct labor hours. The estimated overhead cost amounts to $10,000,000, estimated direct labor hours are 100,000, estimated direct labor cost amounts to $3,100,000, and estimated direct materials cost is $22,000,000. What is Beta's predetermined overhead rate? a $45 per direct labor hour b. $100 per direct labor hour C. $60 per direct labor hour d. $31 per direct labor hour...
Garza Corporation has two production departments, Casting and Customizing. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Casting Department's predetermined overhead rate is based on machine-hours and the Customizing Department's predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates: Casting 16,000 14,000 $75,200 $ 1.30 Customizing 13,000 3,000 $10,500 Machine-hours Direct labor-hours Total fixed manufacturing overhead cost...
Garza Corporation has two production departments, Casting and Customizing. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Casting Department's predetermined overhead rate is based on machine-hours and the Customizing Department's predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates: Casting 23,000 16,000 $105,800 $ 1.70 Customizing 23,000 2,000 $ 8, 600 Machine-hours Direct labor-hours Total fixed manufacturing...
Garza Corporation has two production departments, Casting and Customizing. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Casting Department’s predetermined overhead rate is based on machine-hours and the Customizing Department’s predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates: Casting Customizing Machine-hours 29,000 10,000 Direct labor-hours 19,000 9,000 Total fixed manufacturing overhead cost $ 118,900 $ 39,600...
Garza Corporation has two production departments, Casting and Customizing. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Casting Department’s predetermined overhead rate is based on machine-hours and the Customizing Department’s predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates: Casting Customizing Machine-hours 23,000 21,000 Direct labor-hours 15,000 2,000 Total fixed manufacturing overhead cost $ 89,700 $ 6,200...
The Silver Corporation uses a predetermined overhead rate to apply manufacturing overhead to jobs. The predetermined overhead rate is based on labor cost in Dept. A and on machine-hours in Dept. B. At the beginning of the year, the Corporation made the following estimates: Direct labor cost Manufacturing overhead Direct labor-hours Machine-hours Dept. A Dept. B $60,000 $40,000 $90,000 $45,000 6,000 9,000 2,000 15,000 What predetermined overhead rates would be used in Dept. A and Dept. B, respectively? Multiple Choice...
Garza Corporation has two production departments. Casting and Customizing. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Casting Department's predetermined overhead rate is based on machine-hours and the Customizing Department's predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates: Casting 26,000 20,000 $119,600 $ 1.50 Customizing 29,000 4,000 $12,000 Machine-hours Direct labor-hours Total fixed manufacturing overhead cost...
Swango Corporation has two production departments, Casting and Customizing. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Casting Department's predetermined overhead rate is based on machine-hours and the Customizing Department's predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates: Machine-hours Direct labor-hours Total fixed manufacturing overhead cost Variable manufacturing overhead per machine-hour Variable manufacturing overhead per direct...
Garza Corporation has two production departments, Casting and Customizing. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Casting Department's predetermined overhead rate is based on machine-hours and the Customizing Department's predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates: Casting 20,000 1,000 $152,000 $ 2.10 Customizing 13,000 7,000 $68, 600 Machine-hours Direct labor-hours Total fixed manufacturing overhead...
Garza Corporation has two production departments, Casting and Customizing. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Casting Department’s predetermined overhead rate is based on machine-hours and the Customizing Department’s predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates: Casting Customizing Machine-hours 20,000 13,000 Direct labor-hours 1,000 7,000 Total fixed manufacturing overhead cost $ 152,000 $ 68,600...