Question

Required information [The following information applies to the questions displayed below.] Sweeten Company had no jobs in progress at the beginning of March and no beginning inventories. The company has two manufacturing departments-Molding and Fabrication. It started, completed, and sold only two jobs during March-Job P and Job Q. The following additional information is available for the company as a whole and for Jobs P and Qdata and questions relate to the month of March) Molding Fabrication Total Estimated total machine-hours used Estimated total fixed manufacturing overhead Estimated variable manufacturing overhead per machine-hour 1.90 S 2.70 2,500 1,500 4,000 $11,250 $15,750 $27,000 Job Q $18,000 $10,500 $25,000 $ 9,500 Job P Direct materials Direct labor cost Actual machine-hours used: Molding Fabrication Total 2,200 1,100 3,300 1,300 1,400 2,700 Sweeten Company had no underapplied or overapplied manufacturing overhead costs during the month. Required For questions 1-8, assume that Sweeten Company uses a plantwide predetermined overhead rate with machine-hours as the allocation base. For questions 9-15, assume that the company uses departmental predetermined overhead rates with machine-hours as the allocation base in both departments 1. What was the company's plantwide predetermined overhead rate? (Round your answer to 2 decimal places.) Predetermined overhead rate S 9.75 per MH

1. What was the company’s plantwide predetermined overhead rate? (Round your answer to 2 decimal places.)

2. How much manufacturing overhead was applied to Job P and how much was applied to Job Q? (Do not round intermediate calculations.)

3. What was the total manufacturing cost assigned to Job P? (Do not round intermediate calculations.)

4. If Job P included 20 units, what was its unit product cost? (Do not round intermediate calculations. Round your final answer to nearest whole dollar.)

5. What was the total manufacturing cost assigned to Job Q? (Do not round intermediate calculations.)

6. If Job Q included 30 units, what was its unit product cost? (Do not round intermediate calculations. Round your final answer to nearest whole dollar.)

7. Assume that Sweeten Company used cost-plus pricing (and a markup percentage of 80% of total manufacturing cost) to establish selling prices for all of its jobs. What selling price would the company have established for Jobs P and Q? What are the selling prices for both jobs when stated on a per unit basis assuming 20 units were produced for Job P and 30 units were produced for Job Q? (Do not round intermediate calculations. Round your final answers to nearest whole dollar.)

8. What was Sweeten Company’s cost of goods sold for March? (Do not round intermediate calculations.)

9. What were the company’s predetermined overhead rates in the Molding Department and the Fabrication Department? (Round your answers to 2 decimal places.)

10. How much manufacturing overhead was applied from the Molding Department to Job P and how much was applied to Job Q? (Do not round intermediate calculations.)

11. How much manufacturing overhead was applied from the Fabrication Department to Job P and how much was applied to Job Q? (Do not round intermediate calculations.)

12. If Job P included 20 units, what was its unit product cost? (Do not round intermediate calculations.)

13. If Job Q included 30 units, what was its unit product cost? (Do not round intermediate calculations. Round your final answer to nearest whole dollar.)

14. Assume that Sweeten Company used cost-plus pricing (and a markup percentage of 80% of total manufacturing cost) to establish selling prices for all of its jobs. What selling price would the company have established for Jobs P and Q? What are the selling prices for both jobs when stated on a per unit basis assuming 20 units were produced for Job P and 30 units were produced for Job Q? (Do not round intermediate calculations. Round your final answer to nearest whole dollar.)

15. What was Sweeten Company’s cost of goods sold for March? (Do not round intermediate calculations.)

Answer 1

Answer

1. What was the company's plantwide predetermined overhead rate? Predetermined plantwide overhead rate Predetermined plantwide overhead rate 2500 *1.9+1500 2.7+27000/4000 8.95 2. How much manufacturing overhead was applied to Job P and how much was applied to Job O ob P Job Q Predetermined plantwide overhead rate Machine-hours Overheads applied Answer 3, 4, 5 & 8.95 3,300 29,535 8.95 2,700 24,165 DM+DL+Applied OH Total manufacturing costs assigned to Job P Units unit product cost 72,535 20 3,627 DM+DL+Applied OH Total manufacturing costs assigned to Job Q Units unit product cost Answer 7 44,165 30 1,472 Job P Job Q 1,472 1,178 2,650 unit product cost Mark up @80% Selling prices 8. What was Sweeten Company's cost of goods sold for March? Total manufacturing costs assigned to Job P Total manufacturing costs assigned to Job Q Sweeten Company's cost of goods sold for the year- 3,627 2,902 6,529 72,535 44,165 116,700 9. What were the company's predetermined overhead rates in the Molding Department and the Fabrication Department? Moldin Predetermined departmental overhead rates Predetermined departmental overhead rates 1.90+11250/2500 6.40 Fabrication Predetermined departmental overhead rates Predetermined departmental overhead rates 2.7+15650/1500 13.20