Question

Required information The Foundational 15 (LO2-1, LO2-2, LO2-3, LO2-4) [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 P and Job Q. The following additional information is available for the company as a whole and for Jobs P and Q (all data and questions relate to the month of March): Molding Fabrication Total 2,500 1,500 4,000 $13,250 $16,950 $30,200 Estimated total machine-hours used Estimated total fixed manufacturing overhead Estimated variable manufacturing overhead per machine-hour $ 2.70 $ 3.50 Job P Job Q $26,000 $14,500 $31,400 $12,700 Direct materials Direct labor cost Actual machine- hours used: Molding Fabrication Total 3,000 1,900 4,900 2,100 2,200 4,300 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. Foundational 2-5 5. What was the total manufacturing cost assigned to Job Q? (Do not round intermediate calculations.) Total manufacturing cost

Answer 1

	Molding	Fabrication	Total
Total variable overhead	2500*2.7=6750	3.5*1500=5250	12000
Total fixed overhead	13250	16950	30200
Total estimated overhead			42200
Total estimated machine hour			4000
Plant-wide overhead rate			42200/4000 = $ 10.55 per MH

5)

	Job Q
Direct material	14500
Direct labor	12700
Overhead assigned (4300* 10.55)	45365
Total manufacturing cost	72565

6)

Unit product cost =Total manufacturing cost /number of units

                             = 72565 /30

                            = $ 2418.83 per unit (rounded to 2419)

7)

	Job P	Job Q
Total cost	109095	72565
Total price for Job	109095(1+.8) = 196371	72565(1+.8)= 130617
selling price per unit	196371/20 = 9818.55 (rounded to 9819)	130617/30 = $ 4353.90 (rounded to 4354)

8)Cost of goods sold for march =cost of Job P + Q

                                    = 109095 + 72565

                                      = $ 181660