5) The Dave Company has an estimated overhead pool of $400,000 for 2022 and wishes to allocate this overhead by job based on labor hours, dollars and machine hours. Calculate the rate that will be assigned to each job based an estimated $1,200,000 in wages paid, 50,000 hours worked and 45,000 machine hours of production.

5) The Dave Company has an estimated overhead pool of $400,000 for 2022 and wishes to allocate this overhead by job based on labor hours, dollars and machine hours. Calculate the rate that will be assigned to each job based an estimated $1,200,000 in wages paid, 50,000 hours worked and 45,000 machine hours of production.

Name: 5)The Dave Company has an estimated overhead pool of $400,000 for 202
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Description: 5)The Dave Company has an estimated overhead pool of $400,000 for 2022 and wishes to allocate this overhead by jobbased on labor hours, dollars and machine hours.Calculate the rate that will be assigned to each job based an estimated $1,200,000 in w

Financial And Managerial Accounting

15th Edition

ISBN:9781337902663

Author:WARREN, Carl S.

Publisher:WARREN, Carl S.

Chapter16: Job Order Costing

Section: Chapter Questions

Problem 4CMA: Patterson Corporation expects to incur 70,000 of factory overhead and 60,000 of general and...

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Patterson Corporation expects to incur 70,000 of factory overhead and 60,000 of general and administrative costs next year. Direct labor costs at 5 per hour are expected to total 50,000. If factory overhead is to be applied per direct labor hour, how much overhead will be applied to a job incurring 20 hours of direct labor? a. 120 b. 260 c. 28 d. 140
Assume you made the following two predictions for 2022 for one of your production facilities: Total manufacturing overhead for the year $15,000,000Total direct labor hours for the year 800,000 Actual results for July 2022 were as follows: Manufacturing overhead $1,238,500Direct labor hours 98,500 Calculate the predetermine overhead rate per direct labor hour for 2022.
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Aaron Company estimates direct labor costs and manufacturing overhead costs for the coming year to be $800,000 and $500,000, respectively. Aaron allocates overhead costs based on labor hours. The estimated total labor hours and machine hours for the coming year are 16,000 hours and 10,000 hours, respectively. What is the predetermined overhead allocation rate?
Jeremy Inc. forecasts that total overhead for the current year will be $1,050,000 with 700,000 total machine hours. Year to date, the actual overhead is $1,200,000 and the actual machine hours are 850,000 hours. The company uses a predetermined overhead rate based on machine hours for applying overhead. As of this point in time (year to date), what is the amount of overhead? Group of answer choices $75,000 over-allocated $150,000 under-allocated $75,000 under-allocated $150,000 over-allocated
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Michael Scott Paper Co. uses a predetermined overhead allocation rate to allocate overhead to individual jobs, based on the machine hours required.At the beginning of 2020, the company expected to incur the following:Michael Scott Paper Co.Beginning of 2020 Manufacturing overhead costs $1,001,910 Direct labor costs $1,512,800 Number of Machine hours to be used 73,400 At the end of 2020, the company had actually incurred:Michael Scott Paper Co.End of 2020 Direct labor costs $1,219,700 Depreciation on manufacturing plant equipment $596,400 Property taxes on plant $39,600 Sales Salaries $28,400 Delivery drivers wages $25,600 Plant janitor's wages $17,100 Number of Machine hours actually used 65,700 (Round your answers to two decimal places when needed and use rounded answers for all future calculations).1. Compute the predetermined overhead allocation rate. Total estimated overhead cost ? Total estimated quantity of the overhead allocation base =…
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Aaron Company estimates direct labor costs and manufacturing overhead costs for the coming year to be $800,000 and $500,000, respectively. Aaron allocates overhead costs based on machine hours. The estimated total labor hours and machine hours for the coming year are 16,000 hours and 10,000 hours, respectively. What is the predetermined overhead allocation rate? A) $80.00 per machine hour B) $31.25 per labor hour C) $81.25 per labor hour D) $50.00 per machine hour
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