B. Cleanexstar provides a cleaning service for small offices. Cleanexstar calculates a predetermined overheads rate based on total direct labor hours. The budgeted overhead cost for Cleanexstar is RM520,000. The following related information is provided for direct labor hours. Estimated hour per worker 2,000 Number of workers 25 You are required to calculate: i) Total direct labour hours  ii) Predetermined overhead rate  iii) The actual direct labour hours for Client A are 144 hours. Calculate the overheads absorbed into Client A.

Q: AAA Company is preparing its annual profit plan. As part of its analysis of the profitability of…

A: Activity based costing means where the product is valued on the basis of actual direct material ,…

Q: Crow Design is an interior design firm. The firm uses a job cost system in which each client is a…

A: Answer: Part 1: Direct labor rate = Total direct labor costTotal direct labor hours…

Q: The cost accountant of L. Rosales, Inc. is considering to use the ABC system in determining the cost…

A: SOLUTION- ABC SYSTEM-           PRODUCT X   ACTIVITY BUDGETED COST BUDGETED ACTIVITY ACTIVITY…

Q: Deluxe​, Inc. uses a standard cost system and provides the following information. Static budget…

A: Variable Overhead Cost Variance = ( Standard Rate - Actual Rate ) x Actual Hours Variable Overhead…

Q: Jacobson & Sons Manufacturing Company reports the following information for 20X7: Budgeted factory…

A: The overhead cost is applied on the basis of pre determined overhead rate .

Q: Mike. Inc has two products A and B. The budgeted fixed manufacturing overhead is $10,000. The…

A: A predetermined overhead rate is calculated at the start of the accounting period by dividing the…

Q: Gillette Pvt Ltd. factory overhead rate is Rs. 3 per hour. Budgeted overhead for 3000 hours per…

A:

Q: The next two questions are based on the problem below. Question 1: How much is the cost of goods…

A: Cost of goods manufactured means the cost incurred for manufacturing the finished product. Jobs…

Q: Blue Sky Incorporated listed the following data for the current year: Budgeted factory overhead…

A: Predetermined overhead rates are used to allocate the overhead expenses. It can be calculated on the…

Q: eall Corporation has a standard cost system in which it applies manufacturing overhead to products…

A: Particulars Amount ($) Budgeted Fixed Manufacturing Overhead (FMO) Cost (A) 70000 Budgeted Level…

Q: Kettle Factory produces two similar products: gloves and mittens. The total factory overhead budget…

A: Factory overhead rate = Total factory overhead budget / estimated direct labor hours

Q: Rondell Company uses a standard cost system. Indirect costs were budgeted at $200,000 plus $15 per…

A:

Q: Compute an activity rate for each activity using activity-based costing. (b) Allocate overhead costs…

A: Under Activity Based Costing system, overheads are allocated to the different products based on the…

Q: The following information is provided for FairDeal furniture ltd.The information will be used to…

A: Overhead absorption rate=Budget Production overhead costBudgeted Direct labour hours

Q: Blue Sky Incorporated listed the following data for the current year:   Budgeted factory overhead…

A: Predetermined overhead rates are those rates that are computed at the beginning of the year by…

Q: Mia Company uses activity-based costing and reports the following for this year. Activity Cutting…

A: Activity based costing is one of the type of costing system, under which all indirect costs and…

Q: AAA Company is preparing its annual profit plan. As part of its analysis of the profitability of…

A: Cost Allocation on Traditional Basis: Under the Traditional Basis of Overhead Cost allocation, a…

Q: Vision Company is preparing its annual profit plan. As part of its analysis of the profitability of…

A: Overheads are the expenses incurred during the production process and they are not directly related…

Q: All−Star​, Inc. uses a standard cost system and provides the following information. Static budget…

A: The variance is the difference between standard and actual output.

Q: C Ltd has two departments A & B. Overhead is applied based on direct labour hours in department A…

A: The overhead rate is calculated by dividing the estimated overheads by the activity base.

Q: leanexstar provides a cleaning service for small offices. Cleanexstar caloulates a predetermined…

A: i) Estimated hour per worker                               2,000   Multiply by: Number of workers…

Q: Determine the direct labor cost budget for one year. 2. Determine the number of units a laborer can…

A: Given in the question: Number of employees 30 Number of working days in a month 26…

Q: For many years, Yotsuya Company has used a manufacturing overhead rate based on direct labor hours.…

A: Activity based costing means where overhead cost is allocated on the basis of some cost driver .…

Q: Cushing, Inc., costs products using a normal costing system. The following data are available for…

A: “Hey, since there are multiple questions posted, we will answer first question. If you want any…

Q: Megan Company has two departments, X and Y. Overhead is applied based on direct-labor hours in…

A: Budgeted Factory Overhead Rate for Department Y= Budgeted Factory Overhead/ Estiamted Machine Hour

Q: Singh and Danzin is an architectural firm that provides services for residential construction…

A: Lets understand the basics. In activity based costing, activity rate is calculated by the dividing…

Q: question: 1. If allocating fixed manufacturing overhead based on direct labor hour basis, calculate…

A:

Q: Determine the selling price of the job.

A: Assume your chosen company is pricing its jobs by adding 20% to the total cost of the job it is…

Q: Ripley, Inc., costs products using a normal costing system. The following data are available for…

A: Product cost includes all those costs which are incurred during the manufacturing process of the…

Q: The cost accountant of L. Rosales, Inc. is considering to use the ABC system in determining the cost…

A: ABC or Activity based costing is a technique in which\ various cost divers are used to calculate the…

Q: Blair Designs plans to allocate factory overhead based upon a departmental rate for the Sewing and…

A: Departmental Overhead rate = Total Overhead of DepartmentAllocation Base of Department

Q: Ripley, Inc., costs products using a normal costing system. The following data are available forlast…

A: The predetermined overhead rate is used for determining the standard cost of a product.

Q: Megan Company has two departments, X and Y Overhead is applied based on direct-labor hours in…

A: The overhead rate with a certain period, divided by a distribution measure, is the sum of indirect…

Q: Digger Inc. sells a high-speed retrieval system for mining information. It provides the following…

A: The predetermined overhead rate referred to as the allocation rate that is used for applying the…

Q: 2. Compute the overhead rate for Department B.…

A: Hi student Since there are multiple questions, we will answer only first question. If you want…

Q: Bobby Pte Ltd charges manufacturing overhead to products by using a pre-determined overhead rate,…

A: Overhead applied to production = Budgeted manufacturing overhead x (Actual labor hours / Budgeted…

Q: Cleanexstar provides a cleaning service for small offices. Cleanexstar calculates a predetermined…

A: Here the predetermined overhead rate will be computed using the overhead cost and the total direct…

Q: Bady Inc. makes a range of products. The company's predetermined overhead rate is $14 per direct…

A: The procedure of choosing a strategic decision between manufacturing an item domestically (in-house)…

Q: The actual direct labour hours for Client A are 144 hours. Calculate the overheads absorbed into…

A: Direct labor costs are those costs which are directly used to manufacture the product or to provide…

Q: hour at each level of activity. c. Tom’s employees usually work 350 direct labor hours per month.…

A: A flexible budget refers to the form of the budget which reflects different volumes of sales and…

Q: A company has two departments A & B. Overhead is applied based on direct labour hours in department…

A: Under-applied Overheads=Actual overheads-Applied overheads Over-applied Overheads=Applied…

Q: Instructions: Read and analyze the following problems. Provide what is asked for each item. Take…

A: Hi student Since there are multiple questions, we will answer only first question. If you want…

Q: A company’s over absorbed overhead for a period is £4,000. The budgeted hours for the period was…

A: Following is the answer to the given question

Q: MARISSA Co., the consultant of MARISOL Co. had summarized the following standard cost data extracted…

A: Budgeted hours = normal capacity x budgeted hours  per unit = 400 units x 5 hours = 2000 hours…

Q: The following information is provided for FairDeal furniture ltd.The information will be used to…

A: 1. Overhead Absorption rate = Budgeted Overhead / Budgeted Direct Labour Hours   Overhead Absorption…

Q: A company is preparing its production overhead budgets and determining the apportionment of those…

A: “Since you have asked multiple question, we will solve the first question for you. If you want any…

Q: Mia Company uses activity-based costing and reports the following for this year. Activity Cost…

A:

Q: Chance Realtors, a real estate consulting firm, specializes in advising companies on potential new…

A: To calculate the bid price, required profit shall be added to the total predicted cost of the job.

Q: Gottshall Inc. makes a range of products. The company's predetermined overhead rate is $19 per…

A: Cost accounting is regarded as the process of collecting, analyzing, summarizing and evaluating…

Q: C Ltd has two departments A & B. Overhead is applied based on direct labour department A and machine…

A: Hi student Since there are multiple questions, we will answer only first question. If you want…

Overheads

In cost accounting, overhead refers to those expenses which occur during the operating of a business. Overhead includes the fixed, variable, or semi-variable which is not directly involved with a company product or service. It is very important to analyze overhead expense as it helps the company in determining how much a company must charge for its products and services so that they can generate profit.  Overhead expenses depend upon the nature of the business operations.