Mickley Company’s plantwide predetermined overhead rate is $22.00 per direct labor-hour and its direct labor wage rate is $15.00 per hour. The following information pertains to Job A-500: Direct materials $ 300 Direct labor $ 150 Required: 1. What is the total manufacturing cost assigned to Job A-500? 2. If Job A-500 consists of 90 units, what is the unit product cost for this job? (Round your answer to 2 decimal places.)
Total
Direct labor hours for job A - 500 = Direct labor cost / direct
labor wage rate
= $150/ $15 per hour
= 10 hrs
Total
over head cost = overhead cost per labor hours * no. of labor
hours
= $22 * 10 hrs
= $220
1) Total manufacturing cost
of Job A-500 = Direct materials cost + Direct
labor cost + Total over head cost
= $300 + $150 + $220
= $670
2) unit product cost for Job A-500
(for 90 units ) = total manufacturing cost/ number of
units
= $670/90 units
= $7.44 per unit (round to two Decimal)
Mickley Company’s plantwide predetermined overhead rate is $22.00 per direct labor-hour and its direct labor wage...