1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Angelina_Jolie [31]
3 years ago
14

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

head costs are allocated on the basis of machine-hours in the Machining Department and on the basis of direct labor-hours in the Assembly Department. At the beginning of​ 2018, the following estimates were provided for the coming​ year:
Machining Assembly
Direct labor-hours 40,000 40,000
Machine-hours 50,000 20,000
Direct labor costs $ 525,000 $ 875,000
Manufacturing overhead costs $ 280,000 $ 360,000

The accounting records of the company show the following data for Job​ #316:
Machining Assembly
Direct labor-hours 120 75
Machine-hours 45 5
Direct material cost $ 250 $ 125
Direct labor cost $ 300 $ 325

What amount of manufacturing overhead costs will be allocated to Job​ #316?
Business
1 answer:
Diano4ka-milaya [45]3 years ago
5 0

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

<u>Machining:</u>

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

<u>Assembly:</u>

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

You might be interested in
Finishing Touches has two classes of stock authorized: 7%, $10 par preferred, and $1 par value common. The following transaction
soldi70 [24.7K]

Answer:

i think your answer is correct

Explanation:

hello

3 0
3 years ago
Why is it so important for all entrepreneurs to be prepared for changing technology
Elenna [48]
Because today's business are wholly dependent on technology for their survival. 

This is especially in production, customer service, and marketing.
8 0
3 years ago
Read 2 more answers
Which of the following is NOT a strong warning sign of potentially violent behavior? A. Constantly complaining about the job B.
sweet [91]
 B. Frequently returning late from lunch break. 
4 0
3 years ago
Read 2 more answers
Employers are generally allowed to deduct reasonable compensation paid to employees, but the level of deductible compensation is
DENIUS [597]

Answer:

1 million.

Explanation:

Employers are generally allowed to deduct reasonable compensation paid to employees, but the level of deductible compensation is limited to a maximum of $ 1,000,000 for the CEO, CFO, and the next three highest paid officers of publicly traded corporations unless certain exceptions are met.

8 0
2 years ago
Carol Miller went to Europe and forgot to pay her $880 mortgage payment on her New Hampshire ski house. For her 63 days overdue
agasfer [191]
I think the rate of interest is 14 hope this helps

Because if you divide 880 by 63 you would just keep 14 without adding
7 0
3 years ago
Other questions:
  • What is morale?
    5·2 answers
  • How many combinations of 6 different 10th grade subjects can tyler choose from the 9 subjects offered?
    9·1 answer
  • Emma Jones Company has the following information​ available: Account ​12/31/2019 ​12/31/2018 Accounts Payable ​$76,500 ​$80,000
    12·1 answer
  • The new-product process stage of market testing involves which two of the following? Exposing actual products to prospective con
    9·1 answer
  • Suppose the income tax rate is 0 percent on the first $10,000; 10 percent on the next $20,000; 20 percent on the next $20,000; 3
    11·2 answers
  • Data mining can support the marketing function by: a. Eliminating the need for a firm to have a billing department b. Billing th
    13·1 answer
  • Mr. Draper is the hiring manager of a large corporation. He has been asked to recruit two new sales executives for the firm spec
    7·1 answer
  • At what value should the land be recorded in clementine repair service records?
    7·1 answer
  • Critically discuss SIX causes of differences in accounting practices used in different countries.
    14·1 answer
  • Lower-level managers are empowered to make decisions in a ______ organization, which can ________ motivation and job satisfactio
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!