Reference no: EM132438276
1. Compute the actual and budgeted manufacturing overhead rates for 2017.
2. During? March, the? job-cost record for Job 626 contained the following? information:
Direct materials used $40,000, Direct manufacturing labor costs $35,000
Compute the cost of Job 626 using? (a) actual costing and? (b) normal costing.
3. At the end of 2017, compute the? under- or overallocated manufacturing overhead under normal costing. Why is there no? under- or overallocated overhead under actual? costing?
4. Why might managers at Destin Products prefer to use normal? costing?
Budget for 2017
Direct material costs $2,150,000
Direct manufacturing labor costs $1,550,000
Manufacturing overhead costs $2,945,000
Actual Results for 2017
Direct material costs $2,025,000
Direct manufacturing labor costs $1,490,000
Manufacturing overhead costs $3,129,000