Bierce Corporation has two manufacturing departments--Machining and Finishing. The company used the following data at the...
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Bierce Corporation has two manufacturing departments--Machining and Finishing. The company used the following data at the beginning of the year to calculate predetermined overhead rates: Estimated total machine-hours (MHS) Estimated total fixed manufacturing overhead cost Estimated variable manufacturing overhead cost per MH Machining 8,000 $ 16,000 $ 3.00 Finishing 2,000 $ 9,400 $ 6.00 During the most recent month, the company started and completed two jobs--Job B and Job K. There were no beginning inventories. Data concerning those two jobs follow: Direct materials Direct labor cost Machining machine-hours Finishing machine-hours Required: Job B Job K $ 21,700 $ 21,800 $ 8,600 $ 8,400 6,750 1,250 1,250 750 a. Assume that the company uses a plantwide predetermined manufacturing overhead rate based on machine-hours. Calculate that overhead rate. Note: Round your answer to 2 decimal places. b. Assume that the company uses a plantwide predetermined manufacturing overhead rate based on machine-hours. Calculate the amount of manufacturing overhead applied to Job B. Note: Do not round intermediate calculations. c. Assume that the company uses a plantwide predetermined manufacturing overhead rate based on machine-hours. Calculate the amount of manufacturing overhead applied to Job K. Note: Do not round intermediate calculations. Round your answer to the nearest whole dollar amount. d. Assume that the company uses departmental predetermined overhead rates with machine-hours as the allocation base in both departments. What is the departmental predetermined overhead rate in the Machining department? Note: Round your answer to 2 decimal places. e. Assume that the company uses departmental predetermined overhead rates with machine-hours as the allocation base in both production departments. What is the departmental predetermined overhead rate in the Finishing department? Note: Round your answer to 2 decimal places. f. Assume that the company uses departmental predetermined overhead rates with machine-hours as the allocation base in both production departments. How much manufacturing overhead will be applied to Job B? Note: Do not round intermediate calculations. g. Assume that the company uses departmental predetermined overhead rates with machine-hours as the allocation base in both production departments. How much manufacturing overhead will be applied to Job K? Note: Do not round intermediate calculations. a. Predetermined overhead rate b. Manufacturing overhead applied Job B per MH c. Manufacturing overhead applied Job K d. Machining predetermined overhead rate per MH e. Finishing predetermined overhead rate per MH f. Manufacturing overhead applied job B g. Manufacturing overhead applied job K Total 10,000 $ 25,400 Bierce Corporation has two manufacturing departments--Machining and Finishing. The company used the following data at the beginning of the year to calculate predetermined overhead rates: Estimated total machine-hours (MHS) Estimated total fixed manufacturing overhead cost Estimated variable manufacturing overhead cost per MH Machining 8,000 $ 16,000 $ 3.00 Finishing 2,000 $ 9,400 $ 6.00 During the most recent month, the company started and completed two jobs--Job B and Job K. There were no beginning inventories. Data concerning those two jobs follow: Direct materials Direct labor cost Machining machine-hours Finishing machine-hours Required: Job B Job K $ 21,700 $ 21,800 $ 8,600 $ 8,400 6,750 1,250 1,250 750 a. Assume that the company uses a plantwide predetermined manufacturing overhead rate based on machine-hours. Calculate that overhead rate. Note: Round your answer to 2 decimal places. b. Assume that the company uses a plantwide predetermined manufacturing overhead rate based on machine-hours. Calculate the amount of manufacturing overhead applied to Job B. Note: Do not round intermediate calculations. c. Assume that the company uses a plantwide predetermined manufacturing overhead rate based on machine-hours. Calculate the amount of manufacturing overhead applied to Job K. Note: Do not round intermediate calculations. Round your answer to the nearest whole dollar amount. d. Assume that the company uses departmental predetermined overhead rates with machine-hours as the allocation base in both departments. What is the departmental predetermined overhead rate in the Machining department? Note: Round your answer to 2 decimal places. e. Assume that the company uses departmental predetermined overhead rates with machine-hours as the allocation base in both production departments. What is the departmental predetermined overhead rate in the Finishing department? Note: Round your answer to 2 decimal places. f. Assume that the company uses departmental predetermined overhead rates with machine-hours as the allocation base in both production departments. How much manufacturing overhead will be applied to Job B? Note: Do not round intermediate calculations. g. Assume that the company uses departmental predetermined overhead rates with machine-hours as the allocation base in both production departments. How much manufacturing overhead will be applied to Job K? Note: Do not round intermediate calculations. a. Predetermined overhead rate b. Manufacturing overhead applied Job B per MH c. Manufacturing overhead applied Job K d. Machining predetermined overhead rate per MH e. Finishing predetermined overhead rate per MH f. Manufacturing overhead applied job B g. Manufacturing overhead applied job K Total 10,000 $ 25,400
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a To calculate the plantwide predetermined overhead rate based on machinehours we need to divide the total estimated manufacturing overhead cost by the total estimated machinehours Total estimated man... View the full answer
Related Book For
Managerial Accounting
ISBN: 9781259275814
11th Canadian Edition
Authors: Ray H Garrison, Alan Webb, Theresa Libby
Posted Date:
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