Reference no: EM132465523

Question 1 - Buckey co assigns overhead based on mach hours. The machine Department logs 2390 mach hours and the C department shows 3990 mach hours for the period . If the overhead rate is $6.00 per mach hour the entry to assign overhead will show a a) credit to manufacturing overhead for $382.00 b) debit to work in process for $23940 c) debit to manufacturing overhead for $38280 or d) credit to work in process cutting dept for $23940?

Question 2 - Johnson ind has old inventory on hand that cost $21750. Its scrap value is $29000. The inventory could be sold for $ 725000 if manufactured further at an additional cost of $21750. What should Johnson do? a) manufacture further and seel it for $72500 b) sell the inventory for $29000 scrap value c) hold the inventory at its $21750 cost d) Dispose of the inventory to avoid any further decline in value?