Question

< Question 7 (of 7) Seve Ed Submit 10.00 points Kody Corporation uses a job-order costing system with a plantwide overhead rate based on machine-hours. At the beginning of the year, the company made the following estimates: 155.000 652.000 Machine-hours required to support estimated production Fixed manufacturing overhead cost Variable manufacturing overhead cost per machine-hour Required: 1. Compute the predetermined overhead rate. (Do not round intermediate calculations, Round your answer to 2 decimal places Predetermined overhead per MH 2. During the year Job 500 was started and completed. The following information was available with respect to this Direct materials requisitioned Direct labor cost Machine-hours used er Compute the total manufacturing cost assigned to Job 500. (Round your intermediate calculations and final answer to demp Type here to search

Answer 1

Please give positive ratings so I can keep answering. It would help me a lot. Please comment if you have any query. Thanks!

Kody Corporation
Answer 1
Calculation of Predetermined OH Rate	Total	Note
Fixed manufacturing overhead cost	652,000.00	A
Machine Hours	155,000.00	B
Predetermined Fixed OH Rate	4.21	C=A/B
Add: Variable manufacturing overhead cost per hour	4.40	D
Predetermined OH Rate	8.61	E=C+D
Answer 2
Overhead Allocated to Job 500	Job 500	Note
Machine Hours	39.00	F
Predetermined OH Rate	8.61	See E
Overhead Allocated	335.79	G=E*F
Total manufacturing overhead cost of Job 500	Job 500	Note
Direct materials	340.00
Direct Labors	270.00
Overhead Allocated	335.79	See G
Total manufacturing overhead cost of Job 500	945.79
Answer 3 a
Calculation of Overhead variance	Total	Note
Actual Machine Hours	145,100.00	H
Predetermined OH Rate	8.61	See E
Overhead applied	1,249,311.00	I=H*E
Actual Overhead	1,250,311.00	J
Under applied Overhead	1,000.00	K=J-I