Question: KAM 1(CH 13) Help Save & Exit Subm Eisentrout Corporation has two production departments, Machining and Customizing. The company uses a job-order costing system and
KAM 1(CH 13) Help Save & Exit Subm Eisentrout Corporation has two production departments, Machining and Customizing. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Machining Departments predetermined overhead rate is based on machine-hours and the Customizing Department's predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates: Machine-hours Direct labor-hours Total fixed manufacturing overhead cost Variable manufacturing overhead per machine-hour Variable manufacturing overhead per direct labor- hour 23,000 11,000 $133,400 s 1.50 23,080 5,000 $ 4.20 During the current month the company started and finished Job T272. The following data were recorded for this job Machining Customizing Job T272: Machine-hours Direct labor-hours 10 60 50 e to search
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