Calculate the overhead rate based on direct labor cost

Assignment Help Managerial Accounting
Reference no: EM133102710

Question - At the beginning of June, Rhone Company had two jobs in process, Job 44 and Job 45, with the following accumulated cost information:

 

Job 44

Job 45

Direct materials

$5,100

$1,500

Direct labor

1,200

3,000

Applied overhead

780

1,950

Balance, June 1

$7,080

$6,450

During June, two more jobs (46 and 47) were started. The following direct materials and direct labor costs were added to the four jobs during the month of June:

 

Job 44

Job 45

Job 46

Job 47

Direct materials

$2,500

$7,110

$1,800

$1,700

Direct labor

800

6,400

900

560

At the end of June, Jobs 44, 45, and 47 were completed. Only Job 45 was sold. On June 1, the balance in Finished Goods was zero.

Required -

1. Calculate the overhead rate based on direct labor cost.

2. Prepare a brief job-order cost sheet for the four jobs. Show the balance as of June 1 as well as direct materials and direct labor added in June. Apply overhead to the four jobs for the month of June, and show the ending balances. All amount cells must have an entry; enter zeros as needed.

3. Calculate the ending balances of Work in Process and Finished Goods as of June 30.

4. Calculate the Cost of Goods Sold for June.

Reference no: EM133102710

Questions Cloud

Future draft of literature review : Provide an outline of your literature review and identify the themes that you analyzed - Is there anything you could improve upon in a future
Explain strategies to incorporate the learning theory : Evaluate how adult learning theories complement the cognition of adult learners and Develop a conclusion for the presentation that includes lessons
Prepare the operating activities section for the statement : Equipment that cost $8,000 was sold for the carrying amount of $3,750. Prepare the operating activities section for the statement of cash flows
Identify common themes in the literature : Synthesize the findings from numerous scholarly resources to inform a literature review - Contrast the findings and results of the literature
Calculate the overhead rate based on direct labor cost : Only Job 45 was sold. On June 1, the balance in Finished Goods was zero. Calculate the overhead rate based on direct labor cost
What is Orange Software Company Total Assets as of December : Below is the adjusted trial balance for Orange Software Co. as of December 31, 2021. What is Orange Software Company's Total Assets as of December 31, 2021
Determine the dividend payout ratio for the common stock : Divac preferred stock is $100 par, 8% stock. If stock is liquidated or redeemed, stockholders are entitled to $120 per share. Determine dividend payout ratio
Management at every stage of growth : Examine management characteristics that support all stages of organizational growth - Evaluate the five levels of managerial skills that increase manager
Calculate Valerie minimum net income : For the 2021 taxation year, calculate Valerie's minimum net income before any RRSP deduc-tion. Ignore CPP contributions in your calculations

Reviews

Write a Review

Managerial Accounting Questions & Answers

  Manage budgets and financial plans

Explain the budgeting process and its importance to a business, identifying the components of different budgets, forecast estimates for inclusion in the budgets.

  Prepare a retained earnings statement

Prepare a retained earnings statement for the year and Prepare a stockholders' equity section of given case.

  Prepare a master budget for the three-month period

Prepare a master budget for the three-month period.

  Construct the companys direct labor budget

Construct the company's direct labor budget for the upcoming fiscal year, assuming that the direct labor workforce is adjusted each quarter to match the number of hours required to produce the forecasted number of units produced.

  Evaluate the predetermined overhead rate

Evaluate the Predetermined Overhead Rate

  Determine the company''s bid

Determine the company's bid if activity-based costing is used and the bid is based upon full manufacturing cost plus 30 percent.

  Compute the pool rates for the different activities

Complete the schedule to compute the pool rates for the different activities.

  Prepare Company financial statements

Prepare Company financial statements

  Prepare an analysis of terracycles

This individual assignment is based on the TerraCycle Inc.

  Discuss the ethical issues

Discuss the ethical issues

  Political resources in emerging markets

Calculate the GDP in Income Approach  and Expenditure Approach

  Management accounting - ehsan electronics company

A new plant accountant suggested that the company may be able to assign support costs to products more accurately by using an activity based costing system that relies on a separate rate for each manufacturing activity that causes support costs.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd