Question

Biotechnologies Unlimited, Inc. (BUI located in Sydney Nova Scotias a small but growing biotech quality analysis organization that pesticides before they wewed by farmers. The testing procedures are spect to the individual pesticides used because negentsed for being reaction based on the composition and the quantity used. How they are introduced into the pesticides for testing is also important During the month of December 2014. it completed one beforence number: KS 2014.337 records pertaining to this job are as follows: M16700 4423 4/12/14 11/12/14 2014 201214 M107 The documents with the references and L pertanto direct materials and direct labour, respectively, BUI Currently alcovered using direct labour cost se ction . For the year 2014, estime 5552.240 as the overhead amount and 5468,000 for direct labour cos Required: 1. Compute the overhead allocation rate for 2014 Predetermined overhead rate 2. Compute the cost of the job. (Round "Overhead answer to decimal places Direct materials Direct labour Overhead

Answer 1

Predetermined Overhead rate Estimated overhead Estimated direct labour cost 552240 468000 Predetermined Overhead rate 118% of direct labor Cost Compute the total cost of th Job Direct Material (760+1010+380) Direct Labour(550+310+800) Overhead(1660*118%) 2150 1660 1958.80 1-Dec-14 23- May-14 38 3. Prepare a job cost sheet for job KS 2014-337 39 Number KS2014-337 Department Commerical Description Pesticide testing Direct Materials Reg. No. Amount 3316 3399 3407 JOB COST SHEET Date initiated Date completed Units completed Direct Labour Time-Sheet Hours 760 4423 1010 4437 380 4509 2150 Overhead Amount DL Cost Overhead Rate Amount 550 1660 118% 1958.80 310 800 1660

Cost Summary Job Completion Status Progress to date Date Direct Material Direct Labour Overhead Total Cost Unit Cost 2150 1660 1958.80 5768.80