Wilmington Company has two manufacturing departments-Assembly and Fabrication. It considers all of its manufacturing overhead costs to

Question:

Wilmington Company has two manufacturing departments-Assembly and Fabrication. It considers all of its manufacturing overhead costs to be fixed costs. The first set of data that is shown below is based on estimates from the beginning of the year. The second set of data relates to one particular job completed during the year-Job Bravo.

Required:
1. If Wilmington used a plant wide predetermined overhead rate based on direct labor-hours, how much manufacturing overhead would be applied to Job Bravo?
2. If Wilmington uses departmental predetermined overhead rates with direct labor-hours as the allocation base in Assembly and machine-hours as the allocation base in Fabrication, how much manufacturing overhead would be applied to Job Bravo?

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Managerial Accounting

ISBN: 978-1259307416

16th edition

Authors: Ray Garrison, Eric Noreen, Peter Brewer

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Question Posted: Jul 21, 2017 10:26 AM

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Wilmington Company has two manufacturing departments-Assembly and Fabrication. It considers all of its manufacturing overhead costs to

Question:

Estimated Data Assembly Fabrication Total 30,000 00,000 12 80,000 120,000 Direct labor-hours Job Bravo Direct labor-hours Machine-hours Assembly Fabrication Total 14 9 63

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1 The predetermined plant wide overhead rate is computed as follows Estimated manufacturing overhead ...View the full answer

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