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: Molding Machine-hours 27,000 Fixed manufacturing overhead costs $ 700,000 Variable manufacturing overhead per machine-hour $ 5.60 Fabrication 37,000 $ 250,000 $ 5.60 Total 64,000 $950,000 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 $ 370,000 $ 324,000 $ 694,000 $ 210,000 $ 140,000 $ 350,000 21,000 6,000 27,000 Job C-200: Direct materials cost Direct labor cost Machine-hours Molding Fabrication Total $ 210,000 $ 300,000 $ 510,000 $ 140,000 $ 280,000 $ 420,000 6,000 31,000 37,000 Delph had no overapplied or underapplied manufacturing overhead during the year.

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Answer 1

Plantwide Rate	20.44	per MH
Manufacturing cost	D-70	C-200
Direct Material cost	694,000	510,000
Direct Labor Cost	350,000	420,000
Overheads:	551880	756280
Manufacturing cost	1,595,880	1,686,280
Bid Price	D-70	C-200
Manufacturing cost	1,595,880	1,686,280
Bid Price	1,915,056	2,023,536
Cost of goods sold	3,282,160
2.
	Molding	Fabrication
Fixed manufacturing overhead cost	700,000	250,000
Machine hours	27,000	37,000
Fixed manufacturing rate per hour	25.92592593	6.756756757
Variable manufacturing overhead rate	5.6	5.6
Pre determined overhead rate	31.53	12.36
Cost Assigned
	D-70	C-200
Direct Material cost	694,000	510,000
Direct Labor Cost	350,000	420,000
Overheads:
Molding	662,130	189,180
Fabrication	74,160	383,160
Total cost assigned	1,780,290	1,502,340
Bid Price
	D-70	C-200
Total cost	1,780,290	1,502,340
Bid Price	2,136,348.00	1,802,808.00
Cost of Goods sold = Cost of jobs	3,282,630

1 Plantwide Rate =((700000+250000)/(27000 37000))+5.6 per MH C-200 510000 420000 =20.44*37000 =SUM(C4:06) C-200 -C7 =C10*120% 3 Manufacturing cost D-70 4 Direct Material cost 694000 5 Direct Labor Cost 350000 6 Overheads: =20.44.27000 7 Manufacturing cost =SUM(B4:36) 8 9 Bid Price D-70 10 Manufacturing cost =B7 11 Bid Price =B10*120% 12 13 Cost of goods sold =SUM(B10:010) 14 15 2. 16 Molding 17 Fixed manufacturing overhead cost 700000 18 Machine hours 27000 19 Fixed manufacturing rate per hourl=B17/18 20 Variable manufacturing overhead rat 5.6 21 Pre determined overhead rate 31.53 22 23 Cost Assigned D-70 25 Direct Material cost 694000 26 Direct Labor Cost 350000 27 Overheads: 28 Molding =21000*821 29 Fabrication =6000*021 30 Total cost assigned =SUM(B25:B29) Fabrication 250000 37000 =C17/018 5.6 12.36 C-200 510000 420000 =6000 B21 =31000*C21 -SUM(C25.029) 32 Bid Price 34 Total cost 35 Bid Price D-70 =B30 =B34*120% C-200 =C30 =C34*120% 36 37 Cost of Goods sold = Cost of jobs =SUM(B34C34)