Answer:
The total manufacturing overhead is $200,100
Explanation:
The flexible budget prepared below is based on the original budget for 100,000 machine hours adjusted to 90,000 hours
indirect materials(variable)$50,000/100,000*90,000=$45,000
depreciation(fixed) =$37,500
indirect labor(variable )$80,000/100,000*90,000 =$72000
taxes(fixed) =$7,500
factory supplies(variable)$9000/100,000*90000 =$8,100
supervision(fixed) =$30,000
total manufacturing overhead $200,100
The total manufacturing overhead is $200,100 based on the fact that variable cost varies with output while fixed costs remain the same
Answer:
C) Debit Office supplies, $500; credit Accounts payable, $500
Explanation:
The journal entry is as follows:
Office supplies A/c Dr $500
To Account payable A/c $500
(Being the office supplies are purchase on credit is recorded)
Since the office supplies are purchased so we debited the office supplies that increase the assets and credited the account payable as it purchase on credit basis plus the liabilities are also increased
Answer: $370,000
Explanation:
Based on the information given in the question, the total budgeted cash collections in April would be calculated as the addition of the sales value from February to April and this will be:
February sale = 5% × $700,000 = $35,000
Add: March sale = 25% × $500,000 = $125,000
Add: April Sale = 70% × $300000 = $210000
Total Collection = $370000
Manufacturing overhead is consists of indirect materials, indirect labor, and other indirect costs. To solve the problem, a portion of manufacturing income statement looks like this:
Direct material -----------------------$90,000
Direct labor ---------------------------$140,000
Manufacturing overhead--------________
Total cost to manufacture $300,000
Add: Work in process, beg $ 25,000
Less: Work in process, end $ 18,210
Cost of goods manufactures---$ 306,790
So, to solve the (?) in the above format, manufacturing overhead (MO) is derived as follows:
MO = Cost to manufacture - prime cost
= $300,000 - ($140,000 + $90,000)
= $70,000
Thus, manufacturing overhead is $70,000.
