Company uses a job order cost system in each of its three manufacturing departments. Manufacturing overhead is applied to jobs on the basis of direct labor cost in Department D‚ direct labor hours in Department E‚ and machine hours in Department K.In establishing the predetermined overhead rates for 2014‚ the following estimates were made for the year. Department D E K Manufacturing overhead $1‚200‚000 $1‚500‚000 $900‚000 Direct labor costs
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CHAPTER 17 JOB ORDER COST SYSTEMS AND OVERHEAD ALLOCATIONS OVERVIEW OF BRIEF EXERCISES‚ EXERCISES‚ PROBLEMS‚ AND CRITICAL THINKING CASES Brief Exercises B. Ex. 17.1 B. Ex. 17.2 B. Ex. 17.3 B. Ex. 17.4 B. Ex. 17.5 B. Ex. 17.6 B. Ex. 17.7 B. Ex. 17.8 B. Ex. 17.9 B. Ex. 17.10 Topic Accounting for overhead Transferring costs Overhead application rates Actual and applied overhead Selecting a cost system Applying direct labor Applying direct materials Recording manufacturing costs Selecting activity bases Activity-based
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materials $5‚033‚600 $228.80 $2‚569‚600 $642.40 Direct manufacturing labour a 435‚600 19.80 184‚800 46.20 Machine costs b 3‚484‚800 158.40 316‚800 79.20 Total direct costs $8‚954‚000 $407.00 $3‚071‚200 $767.80 Manufacturing overhead costs c $4‚840‚000 $220.00 $440‚000 $110.00 Total cost of goods sold $13‚794‚000 $627.00 $3‚511‚200 $877.80 a Mammoth requires 1.5 hours per unit and Maximum requires 3.5 hours per unit. The direct manufacturing labour cost is $13.20 per hour. b Machine costs include
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September 30. Compute the total manufacturing overhead. What’s the amount of total manufacturing cost in September? Compute the balance in work-in-process inventory at September 30. Compute the balance in wood at September 30. 1 Problem Two Job-Order Costing (12 points) Anthony’s Furniture Inc. (Anthony’s) manufactures furniture in Mississauga. Anthony’s uses job-order costing system and uses machine hours to allocate overhead costs. Estimated overhead for the year was $800‚000 and estimated
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Grading Summary These are the automatically computed results of your exam. Grades for essay questions‚ and comments from your instructor‚ are in the "Details" section below. Date Taken: 1/16/2015 Time Spent: 1 h ‚ 45 min ‚ 15 secs Points Received: 73 / 90 (81.1%) Question Type: # Of Questions: # Correct: Multiple Choice 6 3 Essay 4 N/A Grade Details - All Questions Page: 1 2 Question 1. Question : (TCO F) Computing unit product costs involves averaging in Job-Order Costing
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goods manufactured 343‚000 Finished goods available for sale $ 428‚000 Less finished goods‚ July 31 93‚000 Cost of goods sold $ 335‚000 E1-5 Selling & Direct Direct Factory Admin. Items Materials Labor Overhead Expense a. Steel used in an overhead door plant Ö b. Cloth used in a shirt factory Ö c. Fiberglass used by a sailboat builder Ö d. Cleaning solvent for the factory floor Ö e. Wages of a binder employed in a printing plant Ö f. Insurance
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CHAPTER 4 JOB COSTING 4-1 Cost pool––a grouping of individual indirect cost items. Cost tracing––the assigning of direct costs to the chosen cost object. Cost allocation––the assigning of indirect costs to the chosen cost object. Cost-allocation base––a factor that links in a systematic way an indirect cost or group of indirect costs to cost objects. 4-2 In a job-costing system‚ costs are assigned to a distinct unit‚ batch‚ or lot of a product or service. In a process-costing system
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systems and Process cost systems. Both have very distinct differences that help each specialize in a certain type of manufacturing company. The job order cost system in particular is used to "provide product costs for each quantity of a product that is manufactured." When a product is called to be manufactured‚ then it is called a job. Once the job is ordered‚ the manufacturing company must go through a flow of steps to complete the job. The flow of a job order cost system is as followed: materials
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Company builds equipment to customer’s specifications. On March 1‚ two jobs were in process with the following costs and information: | Job 43 | Job 44 | Direct materials | $10‚200 | $34‚400 | Direct labor | 21‚000 | 10‚400 | Applied overhead* | 4‚950 | 7‚370 | Total cost | $36‚150 | $52‚170 | | | | Machine hours | 45 | 67 | *Applied on the basis of machine hours During March‚ Job 45 was started and Job 44 was completed and delivered to the customer. Job 43 was
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three questions below. Please note that Question #3 has add more rows or columns to the box if needed. 1. Biltz Company uses a predetermined overhead rate based on direct labor hours to allocate manufacturing overh $582‚000 and 135‚000 direct labor hours were worked. The company estimated that it would incur $525‚000 of ma By how much was manufacturing overhead overallocated or underallocated for the year? 582‚000 - 582‚000= $57‚000.00 2. The following account balances at the beginning of January
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