1 Chapter 2: Applying Excel 2 B Data 4 Markup on job cost 5 6 7 8 Machine-hours 9 Direct labor-hours 10 Total fixed manufacturing overhead cost 11 Variable manufacturing overhead per machine-hour 12 Variable manufacturing overhead per direct labor-hour 75% Department Milling Assembly 60,000 3,000 8,000 80,000 $390,000 $500,000 $2.00 $3.75 13 14 Cost summary for Job 407 15 16 Machine-hours 17 Direct labor-hours 18 Direct materials 19 Direct labor cost Department Milling Assembly 90 3 5 20 $660 $410 $80 $320 20 21 Enter a formula into each of the cells marked with a ? below 22 23 Step 1: Calculate the estimated total manufacturing overhead cost for each department 24 Milling Assembly 25 Total fixed manufacturing overhead cost ? 2 26 Variable manufacturing overhead per machine-hour or direct labor-hour ? ? 27 Total machine-hours or direct labor-hours ? ? 28 Total variable manufacturing overhead 2 ? 29 Total manufacturing overhead ? ? BO 31 Step 2: Calculate the predetermined overhead rate in each department Milling Assembly 32 ? ? 33 Total manufacturing overhead 84 Total machine-hours or direct labor-hours ? ? B5 Predetermined overhead rate per machine-hour or direct labor-hour ? ? 107 31 Step 2: Calculate the predetermined overhead rate in each department 32 33 Total manufacturing overhead 84 Total machine-hours or direct labor-hours 35 Predetermined overhead rate per machine-hour or direct labor-hour Milling Assembly P 36 37 Step 3: Calculate the amount of overhead applied from both departments to Job 407 38 Milling 39 Predetermined overhead rate per machine-hour or direct labor-hour 40 Machine-hours or direct labor-hours for the job 41 Manufacturing overhead applied 42 43 Step 4: Calculate the total job cost for Job 407 44 45 Direct materials 46 Direct labor cost 47 48 49 50 Manufacturing overhead applied Total cost of Job 407 Step 5: Calculate the selling price for Job 407 51 Total cost of Job 407 52 Markup 53 54 Selling price of Job 407 222 Assembly ? P a P P ? P Milling Assembly Total 2 P ? P In your worksheet, enter this new data in the cells for Job 407. What is the new selling price for Job 408? (Round your final answer to 2 decimal places.) Selling price for Job 408 $ 3,657.50 3. Without changing the data for the job from requirement 2 above, what is the selling price for Job 408 if the total number of machine- hours in the Assembly Department increases from 3,000 machine-hours to 4,000 machine-hours? (Round your final answer to 2 decimal places.) Selling price for Job 408 4. Restore the total number of machine-hours in the Assembly Department to 3,000 machine-hours. And keep the job data the same as it was in Requirement 2. What is the selling price for Job 408 if the total number of direct labor-hours in the Assembly Department decreases from 80,000 direct labor-hours to 50,000 direct labor-hours? (Round your final answer to 2 decimal places.) Selling price for Job 408