Question

3. Use the following information from Mindy Co. for the current year: Direct material used Direct Labor Total Factory overhead Beginning goods in process Ending goods in process $ 14,000 12,500 8,800 4,300 5,200 Mindy Co.'s cost of goods manufactured for the current year is: $ Show Working 4. Case Company allocates $5.00 overhead to each unit produced. The company uses a plantwide overhead rate with machine hours as the allocation base. Given the amounts below, how many machine hours does the company expect in department 2? Estimated: Manufacturing overhead costs Direct labor hours Machine hours Department 1 $250,000 8,000 DLH 55,000 MH Department 2 $150,000 12,000 DLH ? MH Machine hours expected in Department 2 are: (Ver. # 1) 9

Answer 1

Answer 3

Particulars	$
Direct Material Cost	14000
Direct Labour Cost	12500
Total Factory Overhead	8800
Beginning Goods in Process	4300
Ending Goods in Process	-5200
Cost of Goods Manufactured	34400

Answer 4

Total Mfg Overhead Cost in Dept 1 & 2	400000
Overhead Rate per MH	5
Total Number of MH Expected	80000
MH in Department 1	55000
MH in Department 2 (Total - Dept 1)	25000