70.2K

Verified Solution

Link Copied!

High Desert Potteryworks makes a variety of pottery products that it sells to retailers. The company uses a job-order costing system in which departmental predetermined overhead rates are used to apply manufacturing overhead cost to jobs. The predetermined overhead rate in the Molding Department is based on machine-hours, and the rate in the Painting Department is based on direct labor- hours. At the beginning of the year, the company provided the following estimates: Department Molding Painting Direct labor-hours 31,586 58,888 Machine-hours 89,00 38,800 Fixed manufacturing overhead cost $152,200 $426,720 Variable manufacturing overhead per machine-hour $3.20 Variable manufacturing overhead per direct labor-hour $ 5.20 Job 205 was started on August 1 and completed on August 10. The company's cost records show the following information concerning the job: Direct labor-hours Machine-hours Direct materials Direct labor cost Department MoldingPainting 86 129 31067 S 934 $1,100 $ 710 $1,000 Required: 1. Compute the predetermined overhead rates used in the Molding Department and the Painting Department 2. Compute the total overhead cost applied to Job 205. 3-a. What would be the total manufacturing cost recorded for Job 205? 3-b. If the job contained 37 units, what would be the unit product cost? Complete this question by entering your answers in the tabs below. Reg 1 Req 2 Reg 3A Reg 3B What would be the total manufacturing cost recorded for Job 205? (Round "Predetermined overhead rate" to 2 decimal places. Round other intermediate calculations and final answers to the nearest dollar amount.) Molding Department Painting Total Direct materials Direct labor Manufacturing overhead Total cost Reg 38 >

Answer & Explanation Solved by verified expert

See Answer