Calculate the total manufacturing costs and the cost per

Reference no: EM13607286

Company manufactures and sells custom-made windows. Its job costing system was designed using an activity-based costing approach. Direct materials and direct labor costs are accumulated separately, along with information concerning three manufacturing overhead cost drivers (activities). Assume that the direct labor rate is $14 per hour and that there were no beginning inventories. The following information was available for 2010, based on an expected production level of 45,900 units for the year, which will require 232,000 direct labor hours: Activity (Cost Driver) Budgeted Cost Driver Used Cost Costs for 2010 as Allocation Base Allocation Rate Materials handling $278,400 # of parts used $0.28 per part Cutting and lathe work $2,505,600 Number of parts used $1.35 per part Assembly/ inspection $4,176,000 Direct labor hours $18.00 per hour. The following production, costs, and activities occurred during the month of March: Units Direct Number Direct Produced Materials Costs of Parts Used Labor Hours 3,010 $107,700 53,163 13,200

(a) Calculate the total manufacturing costs and the cost per unit of the windows produced during the month of March (using the activity-based costing approach). tot mfg cost= cost/unit produced=

(b) Assume instead that company applies manufacturing overhead on a direct labor hours basis (rather than using the activity-based costing system previously described). Calculate the total manufacturing cost and the cost per unit of the windows produced during the month of March. (Hint: You will need to calculate the predetermined overhead application rate using the total budgeted overhead costs for 2010. tot mfg cost= Cost/unit produced=

Reference no: EM13607286

Questions Cloud

On april 8 2009 jupitor corp acquired equipment at a cost : on april 8 2009 jupitor corp. acquired equipment at a cost of 480000. the equipment is to be depreciated by the

The charter of a corporation provides for the issuance of : the charter of a corporation provides for the issuance of 100000 shares of common stock. assume that 45000 shares were

The display cases above were purchased at the beginning of : sipan retail company was recently created with a beginning cash balance of 12000. the owner expects the following for

What is the frequency of the motion what is the amplitude : a 5.70kg block hangs from a spring with spring constant 1900nm . the block is pulled down 6.80 cm from the equilibrium

Calculate the total manufacturing costs and the cost per : company manufactures and sells custom-made windows. its job costing system was designed using an activity-based costing

Compute the rate of return for each divison using the : queensland - sales 4000000 average operating assets 2000000 net operating income 360000 property plant and equip

In a double-slit interference experiment the wavelength is : in a double-slit interference experiment the wavelength is ? 652 nm the slit separation is d 0.150 mm and the screen

In august one of the processing departments at knepp : in august one of the processing departments at knepp corporation had beginning work in process inventory of 17000 and

A physical inventory on december 31 shows 2000 units on : holliday companys inventory records show the following dataunits unit costinventory january 1 5000 9.00purchases june

User Account

All Pages