Rafner Manufacturing identified the following budgeted data in its two production departments.Assembly$1,297,500Finishing$ 700,000Manufacturing overhead costsDirect labor hoursMachine hours13,000 DLH7,000 MHThe departmental overhead rate for AssemblyTotal actual manufacturing costs $1,297,500The departmental overhead rate for FinishingRequired:What are the company's departmental overhead rates if the assembly department assigns overhead based ondirect labor hours and the finishing department assigns overhead based on machine hours?21,800 DLH17,000 MH0per direct labor hour

Name: Rafner Manufacturing identified the following budgeted data in its tw
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Description: Rafner Manufacturing identified the following budgeted data in its two production departments.Assembly$1,297,500Finishing$ 700,000Manufacturing overhead costsDirect labor hoursMachine hours13,000 DLH7,000 MHThe departmental overhead rate for Assembl

Under departmental overhead rate separate overhead rate is calculated for each department to assign…

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Manufacturing overhead costs Direct labor hours Machine hours The departmental overhead rate for Assembly Total actual manufacturing costs $1.297,500 Assembly $1,297,500 The departmental overhead rate for Finishing 13,000 DLH 7,000 MH Finishing $ 700,000 Required: What are the company's departmental overhead rates if the assembly department assigns overhead based on direct labor hours and the finishing department assigns overhead based on machine hours? 21,000 DLH 17,000 MH 0 per direct labor hour

Manufacturing overhead costs Direct labor hours Machine hours The departmental overhead rate for Assembly Total actual manufacturing costs $1.297,500 Assembly $1,297,500 The departmental overhead rate for Finishing 13,000 DLH 7,000 MH Finishing $ 700,000 Required: What are the company's departmental overhead rates if the assembly department assigns overhead based on direct labor hours and the finishing department assigns overhead based on machine hours? 21,000 DLH 17,000 MH 0 per direct labor hour

Financial And Managerial Accounting

15th Edition

ISBN:9781337902663

Author:WARREN, Carl S.

Publisher:WARREN, Carl S.

Chapter19: Support Department And Joint Cost Allocation

Section: Chapter Questions

Problem 2CMA: Adam Corporation manufactures computer tables and has the following budgeted indirect manufacturing...

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Adam Corporation manufactures computer tables and has the following budgeted indirect manufacturing cost information for the next year: If Adam uses the step-down (sequential) method, beginning with the Maintenance Department, to allocate support department costs to production departments, the total overhead (rounded to the nearest dollar) for the Machining Department to allocate to its products would be: a. 407,500. b. 422,750. c. 442,053. d. 445,000.
Mesa Aquatics, Inc. estimated direct labor hours as 1,900 in quarter 1, 2,000 in quarter 2.2,200 in quarter 3, and 1,800 in quarter 4. a sales and administration budget using the information provided.
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Nashler Company has the following budgeted variable costs per unit produced: Budgeted fixed overhead costs per month include supervision of 98,000, depreciation of 76,000, and other overhead of 245,000. Required: 1. Prepare a flexible budget for all costs of production for the following levels of production: 160,000 units, 170,000 units, and 175,000 units. 2. What is the per-unit total product cost for each of the production levels from Requirement 1? (Round each unit cost to the nearest cent.) 3. What if Nashler Companys cost of maintenance rose to 0.22 per unit? How would that affect the unit product costs calculated in Requirement 2?
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USD Inc. has established the following standard cost per unit: Although 10,000 units were budgeted, 12,000 units were produced. The Purchasing department bought 50,000 lb of materials at a cost of $237,500. Actual pounds of materials used were 46,000. Direct labor cost was $287,500 for 25,000 hours worked. Required: Make journal entries to record the materials transactions, assuming that the materials price variance was recorded at the time of purchase. Make journal entries to record the labor variances.
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