Cc.82. The following information pertains to Trenton Glass Works for the year just ended.Budgeted direct-labor cost: 75,000 hours (practical capacity) at $16 per hourActual direct-labor cost: 80,000 hours at $17.50 per hourBudgeted manufacturing overhead: $997,500Actual selling and administrative expenses: 435,000Actual manufacturing overhead:DepreciationProperty taxesIndirect laborSupervisory salaries.SuperyUtilitiescilitiesInsuranceto beRental of spacedirectIndirectmaterial (see data below)Indirect material:Beginning inventory, January 1Purchases during the yearEnding inventory, December 31$231,00021,00082,000200,00059,00030,000300,00079,00048,00094, 00063,0001. Compute the firm's predetermined overhead rate, which is based on direct-labor hours. (Round your answer to 2decimal places.)2. Calculate the overapplied or underapplied overhead for the year. (Round your intermediate calculations to 2 decimalplaces.)

Name: Cc.82. The following information pertains to Trenton Glass Works for t
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Description: Cc.82. The following information pertains to Trenton Glass Works for the year just ended.Budgeted direct-labor cost: 75,000 hours (practical capacity) at $16 per hourActual direct-labor cost: 80,000 hours at $17.50 per hourBudgeted manufacturing over

ANSWER Predetermined overhead rate= Estimated manufacturing overhead /Estimated direct labor hour…

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The following information pertains to Trenton Glass Works for the year just ended. Budgeted direct-labor cost: 75,000 hours (practical capacity) at $16 per hour Actual direct-labor cost: 80,000 hours at $17.50 per hour Budgeted manufacturing overhead: $997,500 Actual selling and administrative expenses: 435,000 Actual manufacturing overhead: Depreciation Property taxes Indirect labor Supervisory salaries Utilities Insurance Rental of space Indirect material (see data below) Indirect material: Beginning inventory, January 1 Purchases during the year Ending inventory, December 31 $231,000 21,000 82,000 200,000 59,000 30,000 300,000 79,000 48,000 94,000 63,000 1. Compute the firm's predetermined overhead rate, which is based on direct-labor hours. (Round your answer to 2 decimal places.) 2. Calculate the overapplied or underapplied overhead for the year. (Round your intermediate calculations to 2 decimal places.)

The following information pertains to Trenton Glass Works for the year just ended. Budgeted direct-labor cost: 75,000 hours (practical capacity) at $16 per hour Actual direct-labor cost: 80,000 hours at $17.50 per hour Budgeted manufacturing overhead: $997,500 Actual selling and administrative expenses: 435,000 Actual manufacturing overhead: Depreciation Property taxes Indirect labor Supervisory salaries Utilities Insurance Rental of space Indirect material (see data below) Indirect material: Beginning inventory, January 1 Purchases during the year Ending inventory, December 31 $231,000 21,000 82,000 200,000 59,000 30,000 300,000 79,000 48,000 94,000 63,000 1. Compute the firm's predetermined overhead rate, which is based on direct-labor hours. (Round your answer to 2 decimal places.) 2. Calculate the overapplied or underapplied overhead for the year. (Round your intermediate calculations to 2 decimal places.)

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter7: Allocating Costs Of Support Departments And Joint Products

Section: Chapter Questions

Problem 1CE: The expected costs for the Maintenance Department of Stazler, Inc., for the coming year include:...

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Ellerson Company provided the following information for the last calendar year: During the year, direct materials purchases amounted to 278,000, direct labor cost was 189,000, and overhead cost was 523,000. During the year, 100,000 units were completed. Refer to Exercise 2.21. Last calendar year, Ellerson recognized revenue of 1,312,000 and had selling and administrative expenses of 204,600. Required: 1. What is the cost of goods sold for last year? 2. Prepare an income statement for Ellerson for last year.
A company estimates its manufacturing overhead will be $750,000 for the next year. What is the predetermined overhead rate given the following independent allocation bases? Budgeted direct labor hours: 60,000 Budgeted direct labor expense: $1,500,000 Estimated machine hours: 100,000
At the beginning of the period, the Fabricating Department budgeted direct labor of 72,000 and equipment depreciation of 18,500 for 2,400 hours of production. The department actually completed 2,350 hours of production. Determine the budget for the department, assuming that it uses flexible budgeting.
Kimber Company has the following unit costs for the current year: Fixed manufacturing cost is based on an annual activity level of 8,000 units. Based on these data, the total manufacturing cost expected to be incurred to manufacture 9,000 units in the current year is: a. 560,000. b. 575,000. c. 615,000. d. 630,000.
The expected costs for the Maintenance Department of Stazler, Inc., for the coming year include: Fixed costs (salaries, tools): 64,900 per year Variable costs (supplies): 1.35 per maintenance hour Estimated usage by: Actual usage by: Required: 1. Calculate a single charging rate for the Maintenance Department. 2. Use this rate to assign the costs of the Maintenance Department to the user departments based on actual usage. Calculate the total amount charged for maintenance for the year. 3. What if the Assembly Department used 4,000 maintenance hours in the year? How much would have been charged out to the three departments?
The following information pertains to Trenton Glass Works for the year just ended.Budgeted direct-labor cost: 75,000 hours (practical capacity) at $16 per hourActual direct-labor cost: 80,000 hours at $17.50 per hourBudgeted manufacturing overhead: $997,500Actual selling and administrative expenses: 435,000Actual manufacturing overhead:Depreciation ................................................................................................ $231,000Property taxes ............................................................................................. 21,000Indirect labor ............................................................................................... 82,000Supervisory salaries .................................................................................... 200,000Utilities........................................................................................................ 59,000Insurance…
The following information pertains to Trenton Glass Works for the year just ended.Budgeted direct-labor cost: 75,000 hours (practical capacity) at $16 per hourActual direct-labor cost: 80,000 hours at $17.50 per hourBudgeted manufacturing overhead: $997,500Actual selling and administrative expenses: 433,000 Actual manufacturing overhead: Depreciation $ 234,000 Property taxes 23,000 Indirect labor 80,000 Supervisory salaries 202,000 Utilities 58,000 Insurance 30,000 Rental of space 301,000 Indirect material (see data below) 79,000 Indirect material: Beginning inventory, January 1 48,000 Purchases during the year 94,000 Ending inventory, December 31 63,000 2. Calculate the overapplied or underapplied overhead for the year. (Round your intermediate calculations to 2 decimal places.)
The following information pertains to Trenton Glass Works for the year just ended. Budgeted direct-labor cost: 75,000 hours (practical capacity) at $16 per hourActual direct-labor cost: 80,000 hours at $17.50 per hourBudgeted manufacturing overhead: $997,500Actual selling and administrative expenses: 435,000Actual manufacturing overhead:Depreciation ..................................................................................................$231,000Property taxes ...................................................................................................21,000Indirect labor .....................................................................................................82,000Supervisory salaries ...................................................................................... 200,000Utilities ...................................................................................................................59,000Insurance…
The Meyers CPA firm has the following overhead budget for the year: Overhead Indirect materials Indirect labor Depreciation-Building Depreciation-Furniture Utilities Insurance Property taxes Other expenses Total $ 500,000 1,900,000 333,000 65,000 385,000 54,000 68,000 175,000 $ 3,480,000 The firm estimates total direct labor cost for the year to be $2,175,000. The firm uses direct labor cost as the cost driver to apply overhead to clients. During January, the firm worked for many clients; data for two of them follow: Gargus account Direct labor $ 4,500 Feller account Direct labor $ 10,500 Required: 1. Compute the firm's predetermined overhead rate. 2. Compute the amount of overhead to be charged to the Gargus and Feller accounts using the predetermined overhead rate calculated in requirement 1. 3. Compute total job cost for the Gargus account and the Feller account.
The following information pertains to Trenton Glass Works for the year just ended.Budgeted direct-labor cost: 75,000 hours (practical capacity) at $16 per hourActual direct-labor cost: 80,000 hours at $17.50 per hourBudgeted manufacturing overhead: $997,500Actual selling and administrative expenses: 433,000 Actual manufacturing overhead: Depreciation $ 234,000 Property taxes 23,000 Indirect labor 80,000 Supervisory salaries 202,000 Utilities 58,000 Insurance 30,000 Rental of space 301,000 Indirect material (see data below) 79,000 Indirect material: Beginning inventory, January 1 48,000 Purchases during the year 94,000 Ending inventory, December 31 63,000 Compute the firm’s predetermined overhead rate, which is based on direct-labor hours. (Round your answer to 2 decimal places.)
3. Better Products Company manufactures insulation and applies manufacturing overhead costs to production at a budgeted indirect-cost rate of $18 per direct labor-hour. The following data are obtained from the accounting records for October 2022: Direct materials $370,000 Direct labor (3,300 hours @ $17/hour) 56,100 Indirect labor 22,000 Plant facility rent 53,000 Depreciation on plant machinery and equipment 41,000 Sales commissions 17,000 Administrative expenses 29,000 The actual amount of manufacturing overhead costs incurred in October 2022 totals ________. A) $277,500 B) $116,000 C) $162,000 D) $123,000
The following data relates to Mangini Company's budgeted amounts for next year. Budgeted: Department 1 Department 2 Manufacturing overhead costs $ 360,000 $ 440,000 Direct labor hours 67,000 DLH 77,000 DLH Machine hours 2,100 MH 2,700 MH What is the company's plantwide overhead rate if machine hours are the allocation base?