Financial intermediaries

Bauer Manufacturing uses departmental cost driver rates to allocate manufacturing overhead costs to products. Manufacturing over

Diano4ka-milaya [45]

Answer:

Instructions are listed below.

Explanation:

Giving the following information:

Manufacturing overhead costs are allocated based on machine-hours in the Machining Department and based on direct labor-hours in the Assembly Department.

Machining:

Machine-hours= 50,000

Manufacturing overhead costs= $ 280,000

Assembly:

Direct labor-hours= 40,000

Manufacturing overhead costs= $ 360,000

First, we need to calculate the estimated overhead rate for each department:

To calculate the estimated manufacturing overhead rate we need to use the following formula:

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

Machining:

Estimated manufacturing overhead rate= 280,000/50,000= $5.6 per machine hour

Assembly:

Estimated manufacturing overhead rate= 360,000/40,000= $9 per direct labor hour

Now, we can allocate overhead to Job 316:

Machining Assembly

Direct labor-hours 120 75

Machine-hours 45 5

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

Machining:

Allocated MOH= 5.6*45= $252

Assembly:

Allocated MOH= 9*75= $675

5 0

3 years ago

On March 1, 2019, Baltimore Company's beginning work in process inventory had 9,500 units. This is its only production departmen

777dan777 [17]

Answer:

Total Equivalent Units direct materials 25200

Total Equivalent Units conversion costs 20,000

Explanation:

Baltimore Company

Beginning work in process inventory 9,500 units

Units Started 25,200 units

Less Ending WIP inventory 8,600 units

Units Finished 16,600

Particulars Units % of Completion Equivalent Units

Mat. Conversion Costs Mat. Conversion Costs

Ending W. I.P, 8600 100 (40%) 8,600 3440

Completed 16,600 100 100 16,600 16,600

 Total Equivalent Units 25200 20,000

First we find the Completed Units by subtracting the ending work in process from the units started. The Equivalents units can be calculated by either adding the beginning work in process and units started or by adding Ending Wip and completed units. By doing the both calculations we get the same number of equivalent units.

6 0

3 years ago

Colby Company has a process costing system in which the weighted-average method is used. The company adds all materials at the b

ivanzaharov [21]

Answer:

$7,650

Explanation:

Ending work in progress = Beginning Work in progress + Units started - Units completed and transferred

= $22,000 + $90,000 - $97,000

= $15,000

Equivalent units = Units completed and transferred + Ending work in progress

= $97,000 + $15,000

= $112,000

Total cost = Material cost (Beginning) + Material cost during the month

= $11,000 + $46,100

= $57,100

Cost per equivalent unit = $57,100 ÷ $112,000

= $0.51

Materials cost of the work in process inventory at March 31 = Ending work in progress × Cost per equivalent unit

= $15,000 × $0.51

= $7,650

4 0

3 years ago

Performance of which activities are most likely to improve in front of an audience?

Firlakuza [10]

Well practiced activities are most likely to improve when performed in front of an audience. On the flip side, if an activity is ill-practiced, the performer is more likely to flub the performance. But practice enhances performance, and so anyone wanting to demonstrate a good show of something should practice it intently beforehand.

7 0

3 years ago

A financial advisor offers you two investment opportunities. Both offer a rate of return of 11%. Investment A promises to pay yo

dsp73

Answer:

The value of x is 566.36

Explanation:

The value of x should be such that the present value of both Investments is the same when discounted at a rate of 11%. To calculate the present value, we use the following formula,

Present Value = CF 1 / (1+r) + CF 2 / (1+r)^2 + ... + CFn / (1+r)^n

Where,

CF represents Cash flow
r represents the discount rate

So, we equate both the present value of Investment A and B to calculate the value of x.

Present Value of A = Present Value of B

450/(1.11) + 650/(1.11)^2 + 850/(1.11)^3 = 850/(1.11) + x/(1.11)^2 + 450/(1.11)^3

1554.472661 = 765.7657658 + x/(1.11)^2 + 329.0361216

1554.472661 - 765.7657658 - 329.0361216 = x/(1.11)^2

459.6707736 * (1.11)^2 = x

x = 566.3603602 rounded off to 566.36

3 0

3 years ago