Answer :- Computation of predetermined overhead rate for each department:-
1. Department D = Manufacturing Overhead / Direct labor costs
Department D = $784,000 / $1,120,000
Department D = 70%
2. Department E = Manufacturing Overhead / Direct labor hours
Department E = $1,500,000 / 125,000
Department E = $12 per direct labor hour
3. Department K = Manufacturing Overhead / Machine hours
Department K = $780,000 / 120,000
Department K = $6.5 per machine hour
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Agassi Company uses a job order cost system in each of its three manufacturing departments. Manufacturing...
Agassi Company uses a job order cost system in each of its three manufacturing departments. Manufacturing overhead is applied to jobs on the basis of direct labor cost in Department D, direct labor hours in Department E, and machine hours in Department K. In establishing the predetermined overhead rates for 2020, the following estimates were made for the year. D Manufacturing overhead Direct labor costs Direct labor hours Machine hours Department Ек $784,000 $1,500,000 $780,000 $1,120,000 $1,250,000 $450,000 100,000 125,000...
Agassi Company uses a job order cost system in each of its three manufacturing departments. Manufacturing overhead is applied to jobs on the basis of direct labor cost in Department D. direct labor hours in Department E, and machine hours in Department K. In establishing the predetermined overhead rates for 2020, the following estimates were made for the year. Department D. Manufacturing overhead $784,000 $1,500,000 $780,000 Direct labor costs $1,120,000 100,000 $1,250,000 $450,000 Direct labor hours 125,000 40,000 Machine hours...
Agassi Company uses a job order cost system in each of its three manufacturing departments. Manufacturing overhead is applied to jobs on the basis of direct labor cost in Department D, direct labor hours in Department E, and machine hours in Department K. In establishing the predetermined overhead rates for 2020, the following estimates were made for the year. Department D Manufacturing overhead $1,500,000 $720,000 Direct labor costs $1,250,000 $450,000 $959,000 $1,370,000 100,000 400,000 Direct labor hours 125,000 40,000 Machine...
Agassi Company uses a job order cost system in each of its three manufacturing departments. Manufacturing overhead is applied to jobs on the basis of direct labor cost in Department D, direct labor hours in Department E, and machine hours in Department K. In establishing the predetermined overhead rates for 2020, the following estimates were made for the year. Department D E K Manufacturing overhead $1,080,000 $1,500,000 $1,020,000 Direct labor costs $1,542,857 $1,250,000 $450,000 Direct labor hours 100,000 125,000 40,000...
Agassi Company uses a job order cost system in each of its three manufacturing departments. Manufacturing overhead is applied to jobs on the basis of direct labor cost in Department D, direct labor hours in Department E, and machine hours in Department K. In establishing the predetermined overhead rates for 2020, the following estimates were made for the year. Department D Manufacturing overhead Direct labor costs Direct labor hours Machine hours $945,000 $1,350,000 100,000 400,000 $1,750,000 $1,250,000 125,000 500,000 $1,080,000...
Problem 2-4A (Video) Agassi Company uses a job order cost system in each of its three manufacturing departments. Manufacturing overhead is applied to jobs on the basis of direct labor cost in Department D, direct labor hours in Department E, and machine hours in Department K. In establishing the predetermined overhead rates for 2020, the following estimates were made for the year. Department Manufacturing overhead Direct labor costs Direct labor hours Machine hours $1,260,000 $1,800,000 100,000 400,000 $1,750,000 $1,250,000 125,000...
Agassi Company uses a job order cost system in each of its three manufacturing departments. Manufacturing overhead is applied to jobs on the basis of direct labor cost in Department D, direct labor hours in Department E, and machine hours in Department K. In establishing the predetermined overhead rates for 2020, the following estimates were made for the year. Department D E Manufacturing overhead $1,500,000 $720,000 Direct labor costs $1,250,000 $450,000 $959,000 $1,370,000 100,000 400,000 Direct labor hours 125,000 40,000...
Agassi Company uses a job order cost system in each of its three manufacturing departments. Manufacturing overhead is applied to jobs on the basis of direct labor cost in Department D, direct labor hours in Department E, and machine hours in Department K. In establishing the predetermined overhead rates for 2020, the following estimates were made for the year. Department D Manufacturing overhead $1,500,000 $720,000 $450,000 Direct labor costs $959,000 $1,370,000 100,000 400,000 Direct labor hours $1,250,000 125,000 500,000 40,000...
Agassi Company uses a job order cost system in each of its three manufacturing departments. Manufacturing overhead is applied to jobs on the basis of direct labor cost in Department D, direct labor hours in Department E, and machine hours in Department K. In establishing the predetermined overhead rates for 2020, the following estimates were made for the year. Department D E K Manufacturing overhead $770,000 $1,500,000 $780,000 Direct labor costs $1,100,000 $1,875,000 $675,000 Direct labor hours 150,000 125,000 60,000...
Vaughn Company uses a job order cost system in each of its three manufacturing departments. Manufacturing overhead is applied to jobs on the basis of direct labor cost in Department D, direct labor hours in Department E, and machine hours in Department K. In establishing the predetermined overhead rates for 2020, the following estimates were made for the year. Department Manufacturing overhead Direct labor costs Direct labor hours Machine hours D $ 959,000 $ 1,370,000 100,000 400,000 $1,500,000 $1,250,000 125,000...