Chapter 2: Applying Excel I 3 Data 4 Markup on job cost $ . ' 75% Department Milng Assembly 60,000 Req. 3: Change the total number of Assembly Department machine hours in green cell at the left to 6,000 hours. 8,000 Did the new Selling Price for job 408 change compared to req. 27 8,000 80,000 $500,000 $3.75 Department 40 Why or why not? 10 2 $700 $360 $50 $150 " 11 13 Machine-hours Direct labor-hours Total fixed manufacturing overhead cost Variable manufacturing overhead per machine-hour Variable manufacturing overhead per direct labor-hour 14 Cost summary for Job 408 Machine-hours $390,000 $2.00 Miling Assembly 18 Direct labor-hours 18 Direct maturials Direct labor cost 20 25 2 Variable manufacturing overhead per machine-hour or direct labor-hour 25 Total fixed manufacturing overhead cost 26 27 Total machine-hours or direct labor-hours 29 Total variable manufacturing overhead 29 Total manufacturing overhead Ming $390,000 Step 2: Calculate the predetermined overhead rate in each department Assembly 1. Miling Assembly Instructions Formulas Reg 1 Ch2- Reg 2 Ch2- Req 3Ch2- Reg 4 Ch2- Check My Work- Ch 02 131 Lab F22 r1 (1) XLSM File Edit View Insert Format Data Tools Help Last edit was 5 minutes ago T 100%- $1000 123- Arial A33 Total manufacturing overhead 10 BIGAB Total variable manufacturing overhead B C D E F a M A 2 Total manufacturing overhead M Step 2: Calculate the predetermined overhead rate in each department Milling Assembly Total manufacturing overhead 24 Total machine-hours or direct labor-hours Predetermined overhead rate per machine-hour or direct labor-hour 27 Step 3: Calculate the amount of overhead applied from both departments to Job 408 Ming Assembly Predetermined overhead rate per machine-hour or direct labor-hour Machine-hours or direct labor-hours for the job Manufacturing overhead applied Step 4: Calculate the total job cost for Job 408 Direct materials Direct labor cost Manufacturing overhead applied Total cost of Job 408 " 10 Step 5: Calculate the selling price for Job 408 Total cost of Job 408 1 Markup " Selling price of Job 408 MA 57 Ming Assembly Total