Answer to Part 1-a.
Estimated Manufacturing Overhead = Estimated Fixed Manufacturing
Overhead + Estimated Variable Manufacturing Overhead
Estimated Manufacturing Overhead = $784,000 + ($2.00 *
140,000)
Estimated Manufacturing Overhead = $1,064,000
Predetermined Overhead Rate = Estimated Manufacturing Overhead /
Estimated Direct Labor Hours
Predetermined Overhead Rate = $1,064,000 / 140,000
Predetermined Overhead Rate = $7.60 per
DLH
Answer to Part 1-b.
Total Manufacturing Cost = Direct Materials + Direct Labor + Manufacturing Overhead
Manufacturing Overhead applied to Job 550 = $7.60 * 15
Manufacturing Overhead applied to Job 550 = $114
Total Manufacturing Cost of Job 550 = $175 + $225 + $114
Total Manufacturing Cost of Job 550 = $514
Answer to Part
1-c.
Selling Price per Unit = Total Manufacturing Cost + Markup
Selling Price for Job 550 = $514 + ($514 * 200%)
Selling Price for Job 550 = $1,542
Answer to Part 2-a.
Estimated Manufacturing Overhead = Estimated Fixed Manufacturing
Overhead + Estimated Variable Manufacturing Overhead
Estimated Manufacturing Overhead = $784,000 + ($4.00 *
70,000)
Estimated Manufacturing Overhead = $1,064,000
Predetermined Overhead Rate = Estimated Manufacturing Overhead /
Estimated Machine Hours
Predetermined Overhead Rate = $1,064,000 / 70,000
Predetermined Overhead Rate = $15.20 per
MH
Answer to Part 2-b.
Total Manufacturing Cost = Direct Materials + Direct Labor + Manufacturing Overhead
Manufacturing Overhead applied to Job 550 = $15.20 * 5
Manufacturing Overhead applied to Job 550 = $76
Total Manufacturing Cost of Job 550 = $175 + $225 + $76
Total Manufacturing Cost of Job 550 = $476
Answer to Part 2-c.
Selling Price per Unit = Total Manufacturing Cost + Markup
Selling Price for Job 550 = $476 + ($476 * 200%)
Selling Price for Job 550 = $1,428
Landen Corporation uses a job-order costing system. At the beginning of the year, the company made...
Landen Corporation uses a job-order costing system. At the beginning of the year, the company made the following estimates: Direct labor- hours required to support estimated production Machine-hours required to support estimated production Fixed manufacturing overhead cost Variable manufacturing overhead cost per direct labor-hour Variable manufacturing overhead cost per machine-hour 140, 000 70, 000 $784,000 2$ 2$ 2.00 4.00 During the year, Job 550 was started and completed. The following information is available with respect to this job: Direct materials...
Landen Corporation uses a job-order costing system. At the beginning of the year, the company made the following estimates: Direct labor-hours required to support estimated production Machine-hours required to support estimated production Pixed manufacturing overhead cost Variable manufacturing overhead cost per direct labor-hour Variable manufacturing overhead cost per machine-hour 140,000 70,000 $ 784,000 $ 2.00 $ 4.00 During the year, Job 550 was started and completed. The following information is available with respect to this job: Direct materials Direct labor...
Landen Corporation uses a job-order costing system. At the beginning of the year, the company made the following estimates: Direct labor-hours required to support estimated production Machine-hours required to support estimated production Fixed manufacturing overhead cost Variable manufacturing overhead cost per direct labor-hour Variable manufacturing overhead cost per machine-hour 160,000 80,000 $ 480,000 $ 5.00 $ 10.00 During the year, Job 550 was started and completed. The following information is available with respect to this job: $ 240 $ 233...
Landen Corporation uses a job-order costing system. At the beginning of the year, the company made the following estimates: Direct labor-hours required to support estimated production Machine-hours required to support estimated production Fixed manufacturing overhead cost Variable manufacturing overhead cost per direct labor-hour Variable manufacturing overhead cost per machine-hour 110,000 55,000 $308,000 $ 3.20 $ 6.40 During the year, Job 550 was started and completed. The following information is available with respect to this job: $ 187 $ 370 Direct...
Landen Corporation uses a job-order costing system. At the beginning of the year, the company made the following estimates: Direct labor-hours required to support estimated production Machine-hours required to support estimated production Fixed manufacturing overhead cost Variable manufacturing overhead cost per direct labor-hour Variable manufacturing overhead cost per machine-hour 140,000 70,000 $784,000 $ 2.00 $ 4.00 During the year, Job 550 was started and completed. The following information is available with respect to this job: $ 175 $ 225 Direct...
Landen Corporation uses a job-order costing system. At the beginning of the year, the company made the following estimates: Direct labor-hours required to support estimated production Machine-hours required to support estimated production Fixed manufacturing overhead cost Variable manufacturing overhead cost per direct labor-hour Variable manufacturing overhead cost per machine-hour 150,000 75,000 $420,000 4.60 9.20 During the year, Job 550 was started and completed. The following information is available with respect to this job: Direct materials $195 Direct labor cost 288...
Landen Corporation uses a job-order costing system. At the beginning of the year, the company made the following estimates: Direct labor-hours required to support estimated production Machine-hours required to support estimated production Fixed manufacturing overhead cost Variable manufacturing overhead cost per direct labor-hour Variable manufacturing overhead cost per machine-hour 60,000 30,000 $180,00 1.6 2.00 During the year, Job 550 was started and completed. The following information is available with respect to this job: Direct materials Direct labor cost Direct labor-hours...
Landen Corporation uses a job-order costing system. At the beginning of the year, the company made the following estimates: Direct labor-hours required to support estimated production Machine-hours required to support estimated production Fixed manufacturing overhead cost Variable manufacturing overhead cost per direct labor-hour Variable manufacturing overhead cost per machine-hour 60,000 30,000 $180,000 $ 1.00 $ 2.00 During the year, Job 550 was started and completed. The following information is available with respect to this job: Direct materials Direct labor cost...
Landen Corporation uses a job-order costing system. At the beginning of the year, the company made the following estimates: Direct labor-hours required to support estimated production Machine-hours required to support estimated production Fixed manufacturing overhead cost Variable manufacturing overhead cost per direct labor-hour Variable manufacturing overhead cost per machine-hour 140,000 70,000 $784,000 $ 2.00 $ 4.00 During the year, Job 550 was started and completed. The following information is available with respect to this job: $ 175 $ 225 Direct...
Landen Corporation uses a job-order costing system. At the beginning of the year, the company made the following estimates: Direct labor-hours required to support estimated production Machine-hours required to support estimated production Fixed manufacturing overhead cost Variable manufacturing overhead cost per direct labor-hour Variable manufacturing overhead cost per machine-hour 115,000 57,500 $322,000 $ 3.40 $ 6.80 During the year, Job 550 was started and completed. The following information is available with respect to this job: $ 252 $ 370 Direct...