Second%20Chance%20Exam%20#1

Second%20Chance%20Exam%20#1 - 1/4 1. The following...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
1 / 4 1. The following information is for X Company for the year: Direct material purchased $4,559 Direct material used $4,096 Direct labor costs $10,331 Overhead costs $23,951 On January 1, there were no unfinished or finished jobs. As of December 31, there were two jobs that were finished but not sold. Cost of Goods Sold for the year was $37,076. What were the costs incurred on the two jobs that were finished at the end of the year but not sold? $4,096 $10,331 +$23,951 $38,378 - $37,976 = $1,302 You are correct. Computer's answer now shown above. Your receipt is 155-3618 2. X Company has the following estimated costs for the year: Direct materials $62,400 Direct labor $22,100 Factory supplies $18,200 Factory maintenance $31,000 Advertising $45,300 Factory rent $49,100 Sales salaries $47,000 Factory insurance $62,200 X Company estimates that 1,700 direct labor hours will be worked during the year, and machines will be operated for 60,000 hours during the year. If overhead is applied on the basis of direct labor cost, what will the overhead rate be (rounded to the nearest cent)? OH = Factory Supplies $18,200 Factory Rent $49,100 Sales Salaries $47,000 Factory Insurance +$62,200 $176,500 $176,500 / $22,100 = 7.99 3. X Company uses a departmental overhead allocation system. It has two production departments, A and B. The cost driver for Department A is direct labor, and the cost driver for Department B is direct labor hours. At the start of the year, the company had the following budgeted information: Department A Department B Direct labor $900,000 $900,000 Direct labor hours 60,000 60,000 Overhead $1,100,000 $1,900,000 The following information is for two specific jobs that were completed during the year: Department A Department B Job 301 Direct labor $12,645 $2,970 Direct labor hours 843 198 Job 302 Direct labor $6,795 $8,325 Direct labor hours 453 555 How much overhead was allocated to Job 301 (round overhead rates to the nearest cent and your final answer to the nearest dollar)? OHA A = $1,100,000 = $1.22 X $12,645 = $15,426.9 $900,000 OHA B = $1,900,000 = 31.67 X 198 = +6270.66 60,000 $21,517.56 You are correct. Computer's answer now shown above. Your receipt is 155-3161
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 09/16/2009 for the course ACCT 230 taught by Professor Jacobs during the Spring '08 term at Michigan State University.

Page1 / 4

Second%20Chance%20Exam%20#1 - 1/4 1. The following...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online