Question

[The following information applies to the questions displayed below.) 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: Fabrication 36,000 Molding Machine-hours 26,000 Fixed manufacturing overhead costs Variable manufacturing overhead per machine-hour $ 6.00 Total 62,000 $ 930,000 230,000 $ 700.000 $ 6.00 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 following information related to those two jobs: Job D-70: Direct materials cost Direct labor cost Machine-hours Molding Fabrication Total $ 373,000 $326,000 $ 699,000 $ 210,000 $ 180,000 $ 390,000 20,000 6,000 26,000 Job C-200: Direct materials cost Direct labor cost Machine-hours Molding Fabrication Total $ 220,000 $ 250,000 $ 470,000 $ 150,000 $ 280,000 $ 430,000 6,000 30,000 36,000 Delph had no overapplied or underapplied manufacturing overhead during the year.

Answer 1

2.
	Molding	Fabrication
Fixed manufacturing overhead cost	700,000	230,000
Machine hours	26,000	36,000
Fixed manufacturing rate per hour	26.92307692	6.388888889
Variable manufacturing overhead rate	6	6
Pre determined overhead rate	32.92	12.39
Cost Assigned
	D-70	C-200
Direct Material cost	699,000	470,000
Direct Labor Cost	390,000	430,000
Overheads:
Molding	658,400	197,520
Fabrication	74,340	371,700
Total cost assigned	1,821,740	1,469,220
Bid Price
	D-70	C-200
Total cost	1,821,740	1,469,220
Bid Price	2,368,262.00	1,909,986.00
Cost of Goods sold = Cost of jobs	3,290,960