Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. identifying the parts of the cost formula; calcula

Identifying the Parts of the Cost Formula; Calculating Monthly, Quarterly, and Yearly Costs Using a...

60.1K

Verified Solution

Question

Accounting

Identifying the Parts of the Cost Formula; Calculating Monthly, Quarterly, and Yearly Costs Using a Cost Formula Based on Monthly Data

Gordon Company's controller, Eric Junior, estimated the following formula, based on monthly data, for overhead cost:

Overhead Cost = $150,000 + ($52 x Direct Labor Hours)

Required:

1. Select the term in the right column that corresponds to the term in the left column.

Line Item Description Answer
Overhead cost Dependent variable
$150,000 Fixed cost
$52 Variable rate
Direct labor hours Independent variable

2. If next month's budgeted direct labor hours equal 8,000, what is the budgeted overhead cost? Answer: 566000

3. If next quarter's budgeted direct labor hours equal 23,000, what is the budgeted overhead cost? fill in the blank?

4. If next year's budgeted direct labor hours equal 99,000, what is the budgeted overhead cost? fill in the blank?

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Biology
1.2K views

Post What are two common events or historical details that are similar between the time...

Medical Sciences
1.2K views

Identify and describe the parts of the neuromuscular junction (synapse): synaptic cleft, synaptic knob (also called...

Biology
1.2K views

A bill originated by people rather than lawmakers is called a an O referendum initiative

Physics
1.2K views

Example 8 8 Two charges 5 x 10 8 C and 3 10 8 C...

Physics
1.2K views

How can we determine the Thevenin resistance O Shorting all voltage sources O Opening all...

Calculus
1.2K views

Graph the function over a one period interval y tan O A Which graph below...

Algebra
1.2K views

Let s play a game You toss a fair coin If it comes out heads...

Accounting
1.2K views

Required information Required information Use the following information for the Exercises below....

Accounting
1.2K views

What amount is 53.70% of $3.70?

Accounting
1.2K views

Business Law Case Description Situation A. Andy Warhol was a painter and...

Accounting
1.2K views

a company made no adjusting entry for accrued and unpaid employee salaries of $8,200 on...

Accounting
1.2K views

Tharp Company operates a small factory in which it manufactures two products: C and D....