Question: Activity Cost Allocation Base Budgeted MOH Budgeted Base Usage Mixing Mixing machine hours $45,000 1,800 Molding Molding machine hours $360,000 2,000 Polishing Polishing labor hours

Activity	Cost Allocation Base	Budgeted MOH	Budgeted Base Usage
Mixing	Mixing machine hours	$45,000	1,800
Molding	Molding machine hours	$360,000	2,000
Polishing	Polishing labor hours	$52,000	6,500
Packing	Packing labor hours	$29,260	3,800

Weasley received an order for 7,000 units. Each unit required direct materials costing $17.00. Weasley had to manufacture 10 extra units and repair 16 units after 20 units were run over by a truck (including 4 that were completely destroyed) and 6 units were spoiled as a normal part of the production process. Total direct labor costs for the job (including the extra units) were $20,056. The job (including the extra units) required 120 mixing machine hours, 170 molding machine hours, 540 polishing labor hours, and 300 packing hours. Repair costs totaled $200.

a.Before considering the effect of spoilage and rework, what is the total cost of this job?

b. After considering the effect of spoilage and rework, what is the total cost of this job?

c.How much spoilage and rework cost should be added to manufacturing overhead as a result of this job?

d. How much spoilage and rework cost should be added to a loss account because of this job?

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