Question

please answer both questions

White Realtors, a real estate consulting firm, specializes in advising companies on potential new plant sites. The company uses a job order costing system with a predetermined overhead allocation rate, computed as a percentage of direct labor costs. At the beginning of 2018, managing partner Sanjog White prepared the following budget for the year: (Click the icon to view additional information.) E(Click the icon to view the prepared budget.) Read the requirements. (b) predetermined overhead allocation rate Data Table Requirements Direct labor hours (professionals) 12,750 hours 1. Compute White Realtors' (a) hourly direct labor cost rate and (b) predetermined overhead allocation rate. Direct labor costs (professionals) 2,550,000 Office rent 300,000 2. Compute the predicted cost of the Simms Manufacturing job. 3. If White wants to earn a profit that equals 45% of the job's cost, how much should he bid for the Simms Manufacturing job? Support staff salaries 1,437,500 Utilities 430,000 Print Done Print Done

Answer 1

Please hit LIKE button if this helped. For any further explanation, please put your query in comment, will get back to you.
	White Realtor
	Part 1
	Direct Labor Hours	a	12,750
	Direct Labor Cost	b	$                                2,550,000
	Overheads	c	$                                2,167,500
	$300,000+$1,437,500+$430,000
	a Hourly Direct Labor rate	b/a	$                                      200.00
	b Predetermined overheat rate	b/c	117.65%	of DL Cost
	Part 2 (Assuming budget is for Simms as no other details given)
	Direct Labor Cost		$                                2,550,000
	Overheads		$                                2,167,500
	Total Cost		$                                4,717,500
	Part 4
	Total Cost		$                                4,717,500
	Add: 45%		$                                2,122,875
	Bid Price		$                                6,840,375
	Sloan
	Part 1
	Date promised 9-5		Date Started 9-2		Date Completed 9-3
	Direct Material		Direct Labor		Manufacturing overheads
Date	Requisition No	Amount	Labor Time Record No	Amount	Date	rate	Amount
9-2	63	$             403			9-3	145%	$       275.50
9-2	64	$             675	655	$               160		of Direct Labor $190
9-3	74	$             126	656	$                 30
						Overall Cost summary:
						Direct Material	$   1,204.00
						Direct Labor	$       190.00
						Overehads	$       275.50
Total		$         1,204		$               190		Total Job Cost	$   1,669.50
						Cost pr DVD	$            0.30
	Predetermined overhead rate	145.00%	of DL Cost
	$667,000/$460,000
	Part 2
Date	Accounts	Debit	Credit
Sep 30	Work in process inventory	$   1,204.00
	Material Inventory		$                                  1,204.00
Sep 30	Work in process inventory	$       190.00
	Wages Payable		$                                      190.00
Sep 30	Work in process inventory	$       275.50
	Manufacturing overheads		$                                      275.50
	Part 3
Date	Accounts	Debit	Credit
Sep 3	Finished goods inventory	$   1,669.50
	Work in process inventory		$                                  1,669.50
	(To record completion of job 423)
Sep 5	Accounts Receivable	$   9,350.00
	Sales Revenue		$                                  9,350.00
	(To record sale)5,500*$1.70
Sep 5	Cost of Goods Sold	$   1,669.50
	Finished goods inventory		$                                  1,669.50
	(To record cost of goods sold)