Gore Corporation uses a predetermined overhead rate based on labor - hours to apply manufacturing overhead to
Question:
Gore Corporation uses a predetermined overhead rate based on laborhours to apply
manufacturing overhead to jobs. Gore has provided the following estimated costs for next year:
Direct materials $
Direct labor $
Sales commissions $
Salary of production supervisor $
Indirect materials $
Advertising expense $
Rent on factory equipment $
Gore estimates that direct laborhours and machinehours will be worked during
the year. The predetermined overhead rate per hour will be closest to:
A $
B $
C $
D $
Rockefeller Corporation uses a joborder costing system with a single plantwide
predetermined overhead rate based on machinehours. The company based its predetermined
overhead rate for the current year on total fixed manufacturing overhead cost of $
variable manufacturing overhead of $ per machinehour, and machinehours. The
company recently completed Job J which required labor hours and machine hours.
total direct labor was $ total direct material was $ Total manufacturing cost of
Job J was closest to:
A $
B $
C $
D $
Fundamentals of Cost Accounting
ISBN: 978-0077398194
3rd Edition
Authors: William Lanen, Shannon Anderson, Michael Maher