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 beginn the year Molding Fabrication Total 26,000 36,092 62,090 $748,092 240,000 $988,888 Machine-hours Fixed manufacturing overhead costs Variable manufacturing overhead cost per machine-hour 5 5.50 $ 5.50 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. provided the following information related to those two jobs: Job D-70: Molding Fabrication Total Direct materials $380,000 $ 323,000 $703,000 cost Direct labor $220,000 $ 170,000 $390,000 cost Machine- 21.000 5,000 26,900 hours Job C- Molding Fabrication Total 200: Direct materials $230,000 $ 240,000 $470,000 cost Direct labor $150,000 $ 270,000 $420,000 cost Machine 5,000 31,000 36,000 hours

Answer 1

(2)(a) Departmeutel = Pre- determined overhead Rutes Departmental fixed manufacturing over head machine Hours Hence; Pre determined lates, molding fabrication & 7,40,000 $2,40,000 fixed Manufacturing overheed! Maelline Hours 26,000 36,000 Pre-determined late $ 28.46 86.67 (740,000 I (240000/ 96000) (6) Total manufacturing cost- Molding fabrication, Toteel. $380000 323000 $703000 Job-D-70 Direct materiaal Cost? - Molding & fabrication. Direct Labour & molding + fabrication, Variable manufacturing overhead fixed Manufacturing, overhead 142, 20,000 1,70,000 $390000 $115500 $27500 $143.00 18597692|$73333/863/025. 181867095 Many featuriy cost of Job -D- 70 - 8 1867025.

Job-c-200 Total Manufacturing cost Moldy fabrication total Direct material $230000 $240000 $470.000 Direct Labour $ 150000 & 270,000 $4,20,000 Variable manufacturing overhead 827,500 $170500 & 198000 Fixed Manufacturing overhead 814238 $2066468220884 141308884 Job 0-200 = $1308884 4 Bild Total Price for Jobe. manufacturing cost Job-D-70 $1867025 | Job-c-200 $1308884 Bid Price 1407. of Total Mamp Hence Bid Price $ 2613835 $ 1832438 (d) Total cost of Good Sold during the year. Total cost a cost of Job D-70 + Tobe-200 -) & $1867025 + $1308884 $3175909