hw_solution_6

# hw_solution_6 - 6-18 a \$300,000(see item 5 b \$1,240,000 =...

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6-18 a. \$300,000 (see item 5) b. \$1,240,000 = \$1,200,000 + \$40,000 (see items 2 & 3) c. \$200,000 (see item 5) d. \$1,340,000. BB + TI – TO = EB \$300,000 + \$1,240,000 – X = \$200,000 X = \$300,000 + \$1,240,000 – \$200,000 X = \$1,340,000 6-19 a. \$67 million = \$16 million + \$27 million + (.8 x \$30 million) b. \$50.25 million = .75 x \$67 million c. BB + TI – TO = EB 0 + \$67 million – \$50.25 million = EB EB = \$16.75 million 6-20 Based on the basic formula: BB + TI TO = EB a. \$51,000 + \$48,000 \$57,000 = X X = \$42,000 b. \$28,400 + X \$88,000 = \$24,800 X = \$24,800 – \$28,400 + \$88,000 X = \$84,400 c. \$67,000 + \$170,000 – X = \$56,000 X = \$67,000 + \$170,000 – \$56,000 X = \$181,000

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6-21. Based on the basic formula: BB + TI TO = EB A. \$250,000 + \$260,000 – \$270,000 = X X = \$240,000 B. \$7,100 + X – \$22,000 = \$6,200 X = \$6,200 – \$7,100 + \$22,000 X = \$21,100 C. \$156,000 + \$280,000 – X = \$128,000 X = \$156,000 + \$280,000 – \$128,000 X = \$308,000 6-22. Based on the basic formula: BB + TI TO = EB A. \$14,000 + \$12,000 – \$18,000 = X X = \$8,000 B. \$90,000 + X – \$330,000 = \$93,000 X = \$93,000 – \$90,000 + \$330,000 X = \$333,000 C. \$65,000 + \$230,000 – X = \$30,000 X = \$65,000 + \$230,000 – \$30,000 X = \$265,000 6-30. Predetermined overhead rate = \$34.82 per direct labor hour. Basic Dominator Total Units produced ....................... 1,000 250 1,250 Machine-hours ....................... 4,000 2,000 6,000 Direct labor-hours .................. 3,000 2,000 5,000 Direct materials ...................... \$10,000 \$3,750 \$13,750 Direct labor ............................ 64,500 35,500 100,000 Manufacturing overhead ........ 174,100
Total Costs ............................. \$287,850 Burden Rate: .......................... Total overhead ................... \$174,100 ÷ Direct labor-hours ............ ÷ 5,000 = \$34.82 6-31.

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