Homework Answers
Solution
| Total manufacturing overhead | / | Expected labor hours | = | Overhead per hour |
| $ 828,000.00 | / | 41400 | = | $ 20.00 |
| Calculation of manufacturing cost of job 309 | |
| Direct material | $ 13,600.00 |
| Direct labor | $ 4,560.00 |
| Manufacturing overhead applied | $ 3,800.00 |
| Total job cost | $ 21,960.00 |
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1. Calculate the manufacturing cost of Job
302.
2. How much will the City of Northville pay for this
playground equipment?
All Wood Industries manufactures custom-designed playground equipment for schools and city parks. All Wood expected to incur $627,000 of manufacturing overhead cost, 41,800 of direct labor hours, and $836,000 of direct labor cost during the year (the cost of direct labor is $20 per hour). The company allocates manufacturing overhead on the basis of direct labor hours. During...
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