Solution 1:
Fixed manufacturing overhead = Total manufacturing overhead - Variable manufacturing overhead
= $230,000 - (120000*$0.40) = $182,000
Solution 2:
Estimated unit product cost for 4th quarter = Total manufacturing costs / Nos of units produced
= ($180,000 + $120,000 + 90000*$0.40 + $182,000) / 90000 = $5.76 per unit
Solution 3:
The fixed portion of manufacturing overhead cost is causing the unit product cost to fluctuate. The unit product cost increases as the level of production decreases because the fixed overhead is spread over fewer units.
Solution 4:
Total manufacturing costs for the year = $630,000 + $406,000 + $294,000 + $518,000 = $1,848,000
Total units produced = 120000 + 60000 + 30000 + 90000 = 300000
Unit product cost = $1,848,000 / 300000 = $6.16 per unit
Exercise 2-11 Varying Plantwide Predetermined Overhead Rates (LO2-1, LO2-2, LO2-31 points Kingsport Containers Company makes a...
Exercise 2-11 (Algo) Varying Plantwide Predetermined Overhead Rates (LO2-1, LO2-2, LO2-3] Kingsport Containers Company makes a single product that is subject to wide seasonal variations in demand. The company uses a job-order costing system and computes plantwide predetermined overhead rates on a quarterly basis using the number of units to be produced as the allocation base. Its estimated costs, by quarter, for the coming year are given below: Quarter First Second Third Fourth Direct materials $320,000 $160,000 $ 80,000 $240,000...
Exercise 2-11 Varying Plantwide Predetermined Overhead Rates [LO2-1, LO2-2, LO2-3] Kingsport Containers Company makes a single product that is subject to wide seasonal variations in demand. The company uses a job-order costing system and computes plantwide predetermined overhead rates on a quarterly basis using the number of units to be produced as the allocation base. Its estimated costs, by quarter, for the coming year are given below: Quarter First Second Third Fourth Direct materials $ 240,000 $ 120,000...
Exercise 2-11 Varying Plantwide Predetermined Overhead Rates [LO2-1, LO2-2, LO2-3] Kingsport Containers Company makes a single product that is subject to wide seasonal variations in demand. The company uses a job-order costing system and computes plantwide predetermined overhead rates on a quarterly basis using the number of units to be produced as the allocation base. Its estimated costs, by quarter, for the coming year are given below: Quarter First Second Third Fourth Direct materials $ 280,000 $ 140,000...
Exercise 2-11 Varying Plantwide Predetermined Overhead Rates [LO2-1, LO2-2, LO2-3] Kingsport Containers Company makes a single product that is subject to wide seasonal variations in demand. The company uses a job-order costing system and computes plantwide predetermined overhead rates on a quarterly basis using the number of units to be produced as the allocation base. Its estimated costs, by quarter, for the coming year are given below: Quarter First Second Third Fourth Direct materials $ 280,000 $ 140,000...
question 16
Exercise 2-11 Varying Plantwide Predetermined Overhead Rates (LO2-1, LO2-2, LO2-3] Kingsport Containers Company makes a single product that is subject to wide seasonal variations in demand. The company uses a job-order costing system and computes plantwide predetermined overhead rates on a quarterly basis using the number of units to be produced as the allocation base. Its estimated costs, by quarter, for the coming year are given below: Direct materials Direct labor Manufacturing overhead Total manufacturing costs (a) Number...
Exercise 2-11 Varying Plantwide Predetermined Overhead Rates [LO2-1, LO2-2, LO2-3] Kingsport Containers Company makes a single product that is subject to wide seasonal variations in demand. The company uses a job-order costing system and computes plantwide predetermined overhead rates on a quarterly basis using the number of units to be produced as the allocation base. Its estimated costs, by quarter, for the coming year are given below: Quarter Second Third $280,000 $140,000 $ 70,000 $210,000 First Fourth Direct materials Direct...
Exercise 3-11 (Algo) Varying Plantwide Predetermined Overhead Rates [LO3-1, LO3-2, LO3-3] Kingsport Containers Company makes a single product that is subject to wide seasonal variations in demand. The company uses a job-order costing system and computes plantwide predetermined overhead rates on a quarterly basis using the number of units to be produced as the allocation base. Its estimated costs, by quarter, for the coming year are given below: Quarter First Second Third Fourth Direct materials $ 280,000 $...
Kingsport Containers Company makes a single product that is
subject to wide seasonal variations in demand. The company uses a
job-order costing system and computes plantwide predetermined
overhead rates on a quarterly basis using the number of units to be
produced as the allocation base. Its estimated costs, by quarter,
for the coming year are given below:
Exercise 2-11 (Algo) Varying Plantwide Predetermined Overhead Rates (LO2-1, LO2-2, LO2-3] Kingsport Containers Company makes a single product that is subject to wide...
Kingsport containers company makes a single product that is
subject to wide rates....
Steps if possible
@ https//newconnect.mheducation.com/flow/connect.html Ch 2 Homework 5 Exercise 2-11 Varying Plantwide Predetermined Overhead Rates [LO2-1, LO2-2, LO2-3] 17 points Kingsport Containers Company makes a single product that is subject to wide seasonal varniations in demand. The company uses a job-order costing system and computes plantwide predetermined overhead rates on a quarterly basis using the number of units to be produced as the allocation base. Its...
Kingsport Containers Company makes a single product that is subject to wide seasonal variations in demand. The company uses a job-order costing system and computes plantwide predetermined overhead rates on a quarterly basis using the number of units to be produced as the allocation base. Its estimated costs, by quarter, for the coming year are given below: Quarter First SecondThirdFourth Direct materials $240,000 $120,000 $ 60,000 $180,000 Direct labor 160,000 80,000 40,000 120,000 Manufacturing overhead 220,000 196,000 184,000 ? Total...