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Luden [163]
3 years ago
7

The Thomlin Company forecasts that total overhead for the current year will be $11,420,000 with 157,000 total machine hours. Yea

r to date, the actual overhead is $7,958,000 and the actual machine hours are 83,000 hours. If the Thomlin Company uses a predetermined overhead rate based on machine hours for applying overhead, as of this point in time (year to date), the overhead is Round the factory overhead rate to the nearest dollar before multiplying by the number of hours. a.$2,848,500 underapplied b.$1,899,000 underapplied c.$1,899,000 overapplied d.$2,848,500 overapplied
Business
1 answer:
Alex17521 [72]3 years ago
8 0

Answer:

Under/over applied overhead= $1,899,000 underallocated

Explanation:

Giving the following information:

Estimated overhead= $11,420,000

Estimated machine-hours= 157,000

Actual overhead is $7,958,000 and the actual machine hours are 83,000 hours.

First, we need to calculate the predetermined overhead rate:

Predetermined manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base

Predetermined manufacturing overhead rate= 11,420,000/157,000

Predetermined manufacturing overhead rate= $73 per machine hour

Now, we can allocate overhead:

Allocated MOH= Estimated manufacturing overhead rate* Actual amount of allocation base

Allocated MOH= 73*83,000= $6,059,000

Finally, we can determine the under/over allocation:

Under/over applied overhead= real overhead - allocated overhead

Under/over applied overhead= 7,958,000 - 6,059,000

Under/over applied overhead= $1,899,000 underallocated

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Studentka2010 [4]

Answer:

$10,883

Explanation:

n = 31 years

Future value (FV) = 1,980,000 (The amount you need in 31 years for retirement)

i/r = 10% (given)

Present value (PV) = 0 (You have just started your job and have not reserved any amounts for retirement)

PMT (Monthly deposit needed) = ?

By using financial calculator, PMT = $10,883

4 0
3 years ago
Dole Company uses the periodic inventory system. At the end of the accounting​ period, ending inventory is​ $10,000 and beginnin
Troyanec [42]

Answer:

The one entry is recorded

Explanation:

The journal entry is shown below:

Inventory A/c Dr (Ending inventory) $10,000

Cost of goods sold A/c Dr (Balancing figure) $94,000

      To Inventory A/c Dr (Beginning inventory)        $5,000

      To Purchase account                                          $99,000

In mathematically,

Cost of goods sold = Beginning inventory + purchase - ending inventory

                                = $5,000 + $99,000 - $10,000

                                = $94,000

4 0
3 years ago
Cierra, Inc. manufactures computer chips. Currently, the costs per unit are as follows: Direct materials $ 1.00 Direct labor 10.
Soloha48 [4]

Answer:

It is more convenient to make the component.

Explanation:

Giving the following information:

Direct materials $1.00

Direct labor 10.00

Variable manufacturing overhead 5.00

Total unitary variable cost= $16

Total fixed overhead= 8*10,000= $80,000

Proposal= 10,000 units for $22

If Cierra accepts the proposal, $50,000 of the fixed overhead will be eliminated.

We need to calculate the total cost of both options and determine which one is better.

Make in-house:

Total cost= 10,000*16 + 50,000= $210,000

Buy:

Total cost= 10,000*22= $220,000

It is more convenient to make the component.

5 0
3 years ago
Skysong, Inc. reports the following for the month of June. Units Unit Cost Total Cost June 1 Inventory 250 $5 $ 1,250 12 Purchas
ziro4ka [17]

Answer:

Weighted average unit cost =  $8.78

Explanation:

<em>The weighted average method of inventory determines the average cost per unit of inventory each time a new batch is received. or every new batch received the average cost per unit is re-computed by dividing the total value of stock by the outstanding number of units.</em>

The explanation is completed using calculation below:

Total value of stock = (250× $5)   +  (500×$9) + (375 × 11)  = $9,875

Total units of stock = 250 + 500 + 375 = 1,125  units

Weighted average unit cost = Total value of stock / total units of stock

                                        =  $9875 / 1125 units = $8.78

Weighted average unit cost =  $8.78

5 0
3 years ago
One of the operations in the United States Postal Service is a mechanical mail sorting operation. In this operation, letter mail
sineoko [7]

Answer:

Detailed solution is given below:

8 0
3 years ago
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