Question: 9 Problem 2-21 Plantwide Versus Multiple Predetermined Overhead Rates [LO2-1, LO2-2 02 Mason Company has two manufacturing The company overhead costs to be fixed costs.
9 Problem 2-21 Plantwide Versus Multiple Predetermined Overhead Rates [LO2-1, LO2-2 02 Mason Company has two manufacturing The company overhead costs to be fixed costs. t provided the fllowing estimates at the beginning with respect to Jobs A and B: of the year as well as the folowing information 5 500,000 100,000 500,000 55,000 Direct labor hours Rachine hours 50,000 5,000 10 13 Rachine hours Direet labor hours achine hours 12 15 1 If Mason Company uses a plantwide predetermined overhead rate with direct labor-hours as the allocation base, how nuch manufacturing overhead cost would be applied to Job A? Job 8? 2. Assume that Mason Company uses departmental predetermined overhead rates. The Machining Depatmentis alocated wsed machine-hours and the Assembly Department is alloceted based on direct labor-hours. How much manufctuing overhed cost wu be applied to Job A? Job B? applied Job A
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