Question

Check my work Exercise 2-5 Computing Total Job Costs and Unit Product Costs Using Multiple Predetermined Overhead Rates (LO2-4) 7.5 points Braverman Company has two manufacturing departments-Finishing and Fabrication. The predetermined overhead rates in Finishing and Fabrication are $26.00 per direct labor-hour and 120% of direct materials cost, respectively. The company's direct labor wage rate is $32.00 per hour. The following information pertains to Job 700: eBook materials Finishing $ 352 stening Fabrication S 490 Hint Direct labor Fabrication $ 224 Required: 1. What is the total manufacturing cost assigned to Job 700? 2. If Job 700 consists of 20 units, what is the unit product cost for this job? (Round your answer to 2 decimal places.) Print References 1. Total manufacturing cost 12. Unit product cost per unit

Answer 1

1. What is the total manufacturing cost assigned to Job 700? 2. If Job 700 consists of 20 units, what is the unit product cost for this job? Answer: 1 Total manufacturing cost 2 Unit product cost $1,605 $80.25 per unit Explanation: |(a) Total direct labor hours Finishing $352 ÷ $32.00 per hour = 11.00 hours Fabrication $224 - $32.00 per hour = 7.00 hours Direct labor cost + Wage rate per hour = Total direct labor hours %3D

(b) Total manufacturing cost Finishing $490.00 352.00 Fabrication Total $115.00 224.00 Direct materials Direct labor Overhead Finishing Department ($26.00 per DLH × 11.00 DLHS) Fabrication Department (120% of direct materials cost x $115.00) Total $605.00 576.00 286.00 286.00 138.00 138.00 $1,605.00 $477.00 $1,128.00 Total manufacturing cost assigned to Job 700 Direct materials Direct labor Overhead ($286.00 + $138.00) Total Manufacturing Cost $605.00 576.00 424.00 $1,605.00

(c) Unit product cost Unit product cost = Total manufacturing cost / Number of units in the Job 700 Unit product cost = ($1,605.00 / 20 units) Unit product cost = $80.25 per unit