ZuoTi.Pro
Question

Sky High Company has two departments X and Y. The following estimates are for the coming...

  1. Sky High Company has two departments X and Y. The following estimates are for the coming year:

X

Y

Direct manufacturing labor-hours

20,000

40.000

Machine-hours

40,000

20,000

Manufacturing overhead

$200,000

$400,000

A single indirect cost rate based on direct manufacturing labor-hours for the entire plant is     ?

  1. $12 per direct labor hour
  2. $15 per direct labor-hour
  3. $21 per direct labor-hour
  4. $10 per direct labor hour
  5. None of the above
business   accounting   
0 0
Add a comment Improve this question Transcribed image text
Next > < Previous
Sort answers by oldest

Homework Answers

Answer #1

correct option is"d"- $10 per direct labor hour

Indirect rate per direct manufacturing labor hours =Total overhead of plant /Total direct manufacturing labor hours

                                       = 600000/60000

                                      = $ 10 per direct labor hour

#

Total overhead of plant = 200000 for X+ 400000 For Y = 600000

Total direct manufacturing labor hours= 20000 +40000 = 60000 labor hours

0 0
Add a comment
Know the answer?
Add Answer to:
Sky High Company has two departments X and Y. The following estimates are for the coming...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions

  • Sky High Company has two departments, X and Y. The following estimates are for the coming...

    Sky High Company has two departments, X and Y. The following estimates are for the coming year: 20,000 Direct manufacturing labor-hours Machine-hours Manufacturing overhead A single indirect-cost rate based on direct manufacturing labor-hours for the entire plant is 30,000 0.000 20,000 $300,000 $330,000 A. $27.50 per direct labor-hour dB. $12.60 per direct labor-hour C. $16.50 per direct labor-hour D. $25.00 per direct labor-hour

  • QUESTION 19 ABC has two departments, Machining and Assembly. The following estimates are for the coming...

    QUESTION 19 ABC has two departments, Machining and Assembly. The following estimates are for the coming year: Machining Assembly Direct manufacturing labor-hours 10,000 50,000 Machine-hours 40,000 20,000 Manufacturing overhead $200,000 $400,000 A single indirect-cost rate based on direct manufacturing labor-hours for the entire plant is: $ 8 per direct labor-hour $10 per direct labor-hour $20 per direct labor-hour None of these answers is correct.

  • QUESTION 19 ABC has two departments, Machining and Assembly. The following estimates are for the coming...

    QUESTION 19 ABC has two departments, Machining and Assembly. The following estimates are for the coming year: Machining Assembly Direct manufacturing labor-hours 10,000 50,000 Machine-hours 40,000 20,000 Manufacturing overhead $200,000 $400,000 A single indirect-cost rate based on direct manufacturing labor-hours for the entire plant is: $ 8 per direct labor-hour $10 per direct labor-hour $20 per direct labor-hour None of these answers is correct.

  • 5. Sky High Company has two departments, X and Y. The following estimates are for the...

    5. Sky High Company has two departments, X and Y. The following estimates are for the coming year: X Y Direct manufacturing labor-hours 20,000 30,000 Machine-hours 30,000 20,000 Manufacturing overhead $300,000 $330,000 The budgeted indirect-cost driver rate for Y based on the number of machine-hours is in excess of X by ________. (Round interim and the final answer to the nearest cent.) A) $6.50 per machine-hour B) $21.50 per machine-hour C) $1.50 per machine-hour D) $16.50 per machine-hour

  • OOPOO) Rhett Company has two departments, Machining and Assembly. The following estimates are for the coming...

    OOPOO) Rhett Company has two departments, Machining and Assembly. The following estimates are for the coming year: Machining Assembly Direct manufacturing labor-hours 20.000 40.000 Machine-hours 80,000 20,000 Manufacturing overhead $400,000 $800,000 The machining department uses machine hours to allocate overhead while the assembly department uses direct labor hours. EROTAVIMO The actual data for Job # 1 is as follows: Direct manufacturing labor-hours Machine-hours Direct Materials Cost Direct Labor Cost Machining 50 10 $5,000 $2,500 Assembly balston 50 o el to...

  • Best Electric has two production departments – plant Y and plant Z. The company applies a...

    Best Electric has two production departments – plant Y and plant Z. The company applies a job-order costing system and computes a predetermined overhead rate in each production department. The predetermined overhead rate in plant Y is based on direct labor hours and in plant Z is based on machine hours. The following table shows the estimates of its costs at the beginning of the year - Department Plant Y Plant Z Machine-hours 10,000 80,000 Direct labor-hours 75,000 12,000 Total...

  • Delph Company uses a job-order costing system and has two manufacturing departments—Molding and Fabrication. The company...

    Delph Company uses a job-order costing system and has two manufacturing departments—Molding and Fabrication. The company provided the following estimates at the beginning of the year: Molding Fabrication Total Machine-hours 20,000 30,000 50,000 Fixed manufacturing overhead costs $ 700,000 $ 210,000 $ 910,000 Variable manufacturing overhead cost per machine-hour $ 3.00 $ 1.00 During the year, the company had no beginning or ending inventories and it started, completed, and sold only two jobs—Job D-70 and Job C-200. It provided the...

  • A company has two departments within its production facility. You have the following information for both...

    A company has two departments within its production facility. You have the following information for both departments: Total Estimated Manufacturing Overhead Total Estimated Direct Labor Hours Total Estimated Machine Hours Department 1 $450,000 225,000 10,000 Department 2 $550.000 10,000 40,000 Total $1,000,000 235,000 50,000 If a plant-wide rate is used based on machine hours, and product A used a total of 21 machine hours, the total overhead applied to product A would be: $288.75 $340.00 $420.00 $331.00 A company has...

  • Assume a company has two manufacturing departments - Assembly and Fabrication. The company considers all of...

    Assume a company has two manufacturing departments - Assembly and Fabrication. The company considers all of its manufacturing overhead costs to be fixed costs. The first set of data below is budgeted data for the company as a whole that was estimated at the beginning of the year. The second set of data below is actual data for the company as a whole that was derived at the end of the year. The third set of data relates to one...

  • Garza Corporation has two production departments, Casting and Customizing. The company uses a job-order costing system...

    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...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT