Question

Required information (The following information applies to the questions displayed below) Sweeten Company had no jobs in progress at the beginning of March and no beginning inventories. The company has two manufacturing departments - Molding and Fabrication. It started, completed and sold only two jobs during March Job Pandjob The following additional information is available for the company as a whole and for Jobs P and all data and questions relate to the month of March Holding total Telah Estimated total fixed manufacturing overhead a ted Variable manufact Everes per Fabrication $15,000 $25,000 inho Sweeten Company had no underapplied or overapplied manufacturing overhead costs during the month Required: For questions 1-8, assume that Sweeten Company uses a plantwide predetermined overhead rate with machine hours as the allocation base For questions 9-15 assume that the company uses departmental predetermined overhead rates with machine hours as the allocation base in both departments 10. How much manufacturing overhead was applied from the Molding Department to Job P and how much was applied to Job ? (Do not round Intermediate calculations Job P Job Q Manufacturing overhead applied

Answer 1

Departmental overhead rate :

Molding overhead = (10000/2500+1.40) = 5.40 per hour

Fabrication overhead = (15000/1500+2.2) = 12.20 per hour

Calculate manufacturing overhead applied

	Job P	Job Q
Molding department	9180	4320
Fabrication department	7320	10980
Manufacturing overhead applied	16500	15300