Calculate single plant wide manufacturing overhead rate :
Manufacturing overhead rate = Estimated overhead/estimated machine hour
= 8612000/45000
Manufacturing overhead rate = $191.38 per machine hour
So answer is b) $191.38 per machine hour
in cases of 1,600 bags. The bags come in three sizes: Large, Medium, and Cooper's Bags...
Coopers Bags Company manufactures cloth grocery bags to be sold to grocery stores and other retailers. Cooper's Bags Company sells the bags in cases of 1,900 bags. The bags come in three sizes: Large, Medium, and Small. Currently, Coopers Bags Company uses a single plantwide overhead rate to allocate its $7,293,000 of annual manufacturing overhead. Of this amount, $2,200,000 is associated with the Large Bag line, $3,415,000 is associated with the Medium Bag line, and $1,678,000 is associated with the...
Cooper's Bags Company manufactures cloth grocery bags to be sold to grocery stores and other retailers. Cooper's Bags Company sells the bags in cases of 1,600 bags. The bags come in three sizes: Large, Medium, and Small. Currently, Cooper's Bags Company uses a single plantwide overhead rate to allocate its $7,566,000 of annual manufacturing overhead. Of this amount, $2,150,000 is associated with the Large Bag line, $3,420,000 is associated with the Medium Bag line, and $1,996,000 is associated with the...
EZ Carry Corp. is the maker of high quality golf bags. The company currently has three different lines of bags, which it sells to sporting goods stores and golf shops throughout the world. EZ Carry sells a constant mix of 4 small bags for each medium-sized bag and 5 medium bags for each large-sized bag. Total fixed costs for the year are expected to be $2.027.544. Small Selling price per bag $100 Variable cost per bag $ 40 Medium $170...
l Pastry Garden Bakery manufactures three types of baked goods for retail sale. The three types are: wedding cakes, pies and cookies. Currently, Pastry Garden uses a single plant-wide overhead rate to allocate its $1,667 250 of annual manufacturing overhead. Of this amount, $562,000 is associated with wedding cakes, $492,000 is associated with pies, and $612 750 is associa with cookies. Pastry Garden is currently using a total of 22,150 labor hours: 7.500 for wedding cakes, 8.200 for pies, and...
Mercury Bag Company produces cases of grocery bags. The managers at Mercury are trying to develop budgets for the upcoming quarter. The following data have been gathered. Projected sales in units 1,170 cases Selling price per case $ 240 Inventory at the beginning of the quarter 150 cases Target inventory at the end of the quarter 100 cases Direct labor hours needed to produce one case 2 hours Direct labor wages $ 10 per hour Direct materials cost per...
Performance Gloves, Inc. produces three sizes of sports gloves: small, medium, and large. A glove pattern is first stenciled onto leather in the Pattern Department. The stenciled patterns are then sent to the Cut and Sew Department, where the glove is cut and sewed together. Performance Gloves uses the multiple production department factory overhead rate method of allocating factory overhead costs. Its factory overhead costs were budgeted as follows: Pattern Department overhead $134,900 Cut and Sew Department overhead 225,600 Total...
Performance Gloves, Inc. produces three sizes of sports gloves: small, medium, and large. A glove pattern is first stenciled onto leather in the Pattern Department. The stenciled patterns are then sent to the Cut and Sew Department, where the glove is cut and sewed together. Performance Gloves uses the multiple production department factory overhead rate method of allocating factory overhead costs. Its factory overhead costs were budgeted as follows: Pattern Department overhead Cut and Sew Department overhead Total $116,600 196,000...
Performance Gloves, Inc. produces three sizes of sports gloves: small, medium, and large. A glove pattern is first stenciled onto leather in the Pattern Department. The stenciled patterns are then sent to the Cut and Sew Department, where the glove is cut and sewed together. Performance Gloves uses the multiple production department factory overhead rate method of allocating factory overhead costs. Its factory overhead costs were budgeted as follows: Pattern Department overhead $108,300 Cut and Sew Department overhead 182,400 Total...
Handy Leather, Inc., produces three sizes of sports gloves: small, medium, and large. A glove pattern is first stenciled onto leather in the Pattern Department. The stenciled patterns are then sent to the Cut and Sew Department, where the glove is cut and sewed together. Handy Leather uses the multiple production department factory overhead rate method of allocating factory overhead costs. Its factory overhead costs were budgeted as follows: Pattern Department overhead $104,000 Cut and Sew Department overhead 172,000 Total...
Performance Gloves, Inc. produces three sizes of sports gloves: small, medium, and large. A glove pattern is first stenciled onto leather in the Pattern Department. The stenciled patterns are then sent to the Cut and Sew Department, where the glove is cut and sewed together. Performance Gloves uses the multiple production department factory overhead rate method of allocating factory overhead costs. Its factory overhead costs were budgeted as follows: Pattern Department overhead $180,000 Cut and Sew Department overhead 297,600 Total...