Exam 2: Job-Order Costing: Calculating Unit Production Costs

Ryans Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on machine-hours.The company based its predetermined overhead rate for the current year on the following data: Recently Job P512 was completed with the following characteristics: Required: a.Calculate the predetermined overhead rate for the year. b.Calculate the amount of overhead applied to Job P512. c.Calculate the total job cost for Job P512. d.Calculate the unit product cost for Job P512.

Which of the following is the correct formula to compute the predetermined overhead rate?

Kostelnik Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on machine-hours. The company based its predetermined overhead rate for the current year on total fixed manufacturing overhead cost of $237,000, variable manufacturing overhead of $3.90 per machine-hour, and 30,000 machine-hours. The company has provided the following data concerning Job A496 which was recently completed: -The total job cost for Job A496 is closest to:

Placker Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on machine-hours.The company based its predetermined overhead rate for the current year on total fixed manufacturing overhead cost of $155,000,variable manufacturing overhead of $3.40 per machine-hour,and 50,000 machine-hours.Recently,Job A881 was completed with the following characteristics: The total job cost for Job A881 is closest to:

Beans Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on direct labor-hours. The company based its predetermined overhead rate for the current year on total fixed manufacturing overhead cost of $162,000, variable manufacturing overhead of $2.80 per direct labor-hour, and 60,000 direct labor-hours. Recently, Job K818 was completed with the following characteristics: -If the company marks up its unit product costs by 40% then the selling price for a unit in Job K818 is closest to:

Madole Corporation has two production departments,Forming and Customizing.The company uses a job-order costing system and computes a predetermined overhead rate in each production department.The Forming Department's predetermined overhead rate is based on machine-hours and the Customizing Department's predetermined overhead rate is based on direct labor-hours.At the beginning of the current year,the company had made the following estimates: During the current month the company started and finished Job K973.The following data were recorded for this job: Required: a.Calculate the estimated total manufacturing overhead for the Forming Department. b.Calculate the predetermined overhead rate for the Customizing Department. c.Calculate the total overhead applied to Job K973 in both departments.

Housholder Corporation uses a predetermined overhead rate base on machine-hours that it recalculates at the beginning of each year. The company has provided the following data for the most recent year. -The amount of manufacturing overhead that would have been applied to all jobs during the period is closest to:

Crowson Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on machine-hours.The company based its predetermined overhead rate for the current year on the following data: Required: Calculate the predetermined overhead rate for the year.

Ahlheim Corporation has two production departments, Forming and Assembly. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Forming Department's predetermined overhead rate is based on machine-hours and the Assembly Department's predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates: During the current month the company started and finished Job T924. The following data were recorded for this job: -The total amount of overhead applied in both departments to Job T924 is closest to:

The formula for computing the predetermined overhead rate is: Predetermined overhead rate = Estimated total amount of the allocation base ÷ Estimated total manufacturing overhead cost

Kostelnik Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on machine-hours. The company based its predetermined overhead rate for the current year on total fixed manufacturing overhead cost of $237,000, variable manufacturing overhead of $3.90 per machine-hour, and 30,000 machine-hours. The company has provided the following data concerning Job A496 which was recently completed: -If the company marks up its unit product costs by 40% then the selling price for a unit in Job A496 is closest to:

An employee time ticket is an hour-by-hour summary of the employee's activities throughout the day.

Nielsen Corporation has two manufacturing departments--Machining and Assembly. The company used the following data at the beginning of the year to calculate predetermined overhead rates: During the most recent month, the company started and completed two jobs--Job F and Job M. There were no beginning inventories. Data concerning those two jobs follow: -The total job cost for Job K332 is closest to:

Dejarnette Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on machine-hours. The company based its predetermined overhead rate for the current year on the following data: -The predetermined overhead rate is closest to:

Sargent Corporation applies overhead cost to jobs on the basis of 80% of direct labor cost.If Job 210 shows $10,000 of manufacturing overhead cost applied,how much was the direct labor cost on the job?

Levron Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on machine-hours. The company based its predetermined overhead rate for the current year on total fixed manufacturing overhead cost of $58,000, variable manufacturing overhead of $2.00 per machine-hour, and 20,000 machine-hours. The company has provided the following data concerning Job P978 which was recently completed: -The predetermined overhead rate is closest to:

Thach Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on machine-hours.The company based its predetermined overhead rate for the current year on total fixed manufacturing overhead cost of $665,000,variable manufacturing overhead of $3.00 per machine-hour,and 70,000 machine-hours.Recently,Job T321 was completed with the following characteristics: The unit product cost for Job T321 is closest to:

The Silver Corporation uses a predetermined overhead rate to apply manufacturing overhead to jobs.The predetermined overhead rate is based on labor cost in Dept.A and on machine-hours in Dept.B.At the beginning of the year,the Corporation made the following estimates: What predetermined overhead rates would be used in Dept.A and Dept.B,respectively?

Marciante Corporation has two production departments, Casting and Finishing. The company uses a job-order costing system and computes a predetermined overhead rate in each production department. The Casting Department's predetermined overhead rate is based on machine-hours and the Finishing Department's predetermined overhead rate is based on direct labor-hours. At the beginning of the current year, the company had made the following estimates: -The estimated total manufacturing overhead for the Casting Department is closest to:

Hultquist Corporation has two manufacturing departments--Forming and Customizing.The company used the following data at the beginning of the period to calculate predetermined overhead rates: During the period,the company started and completed two jobs--Job C and Job L.Data concerning those two jobs follow: Required: a.Assume that the company uses a plantwide predetermined manufacturing overhead rate based on machine-hours.Calculate that overhead rate. b.Assume that the company uses a plantwide predetermined manufacturing overhead rate based on machine-hours.Calculate the amount of manufacturing overhead applied to Job L. c.Assume that the company uses a plantwide predetermined manufacturing overhead rate based on machine-hours.Calculate the total manufacturing cost assigned to Job L. d.Assume that the company uses a plantwide predetermined manufacturing overhead rate based on machine-hours and uses a markup of 80% on manufacturing cost to establish selling prices.Calculate the selling price for Job L. e.Assume that the company uses departmental predetermined overhead rates with machine-hours as the allocation base in both departments.What is the departmental predetermined overhead rate in the Forming department? f.Assume that the company uses departmental predetermined overhead rates with machine-hours as the allocation base in both production departments.What is the departmental predetermined overhead rate in the Customizing department? g.Assume that the company uses departmental predetermined overhead rates with machine-hours as the allocation base in both production departments.How much manufacturing overhead will be applied to Job L? h.Assume that the company uses departmental predetermined overhead rates with machine-hours as the allocation base in both production departments.Further assume that the company uses a markup of 80% on manufacturing cost to establish selling prices.Calculate the selling price for Job L.