ass - Question 1 A] Month March Actual Overhead Property...

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Question 1 A] Month Actual Overhead $ March $ 68,200.00 Property Tax $ 500.00 Total Overhead for March $ 68,700.00 Month Actual Overhead April $ 71,250.00 Depreciation of Equipment -$ 4,300.00 Property Tax $ 500.00 Depreciation for Equipment $ 36.00 Total Overhead for April $ 67,486.00 Month Actual Overhead May $ 68,150.00 Property Tax $ 500.00 Depreciation of Equipment $ 36.00 Total Overhead for May $ 68,686.00 Month Actual Overhead June $ 73,500.00 Property Tax Allocated $ 3,000.00 Current Property Tax $ 500.00 Depreciation for Equipment $ 36.00 Total Overhead for June $ 77,036.00 Month Actual Overhead July $ 38,310.00 Property Tax Allocated $ 500.00 Depreciation of Equipment $ 36.00 Payroll for Indirect labour 3850.00* Total Overhead for July $ 38,846.00 * (5500/10 = 550 x 7 = 3850)
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Month Actual Overhead $ August Miscellaneous expenses $ 10,450.00 Payroll for Indirect labour 1650.00 * Power costs: Department IP-14 $ 12,250.00 Payroll for indirect labour $ 6,000.00 Overtime Premium $ 890.00 Factory Depreciation $ 8,000.00 Miscellaneous expenses $ 27,700.00 Property tax Allocated $ 500.00 Deprecation of Equipment $ 36.00 Payroll for Indirect labour 4800.00 * Total Overhead for August $ 65,826.00 * (5500/10= 550 x 3 days= $1,650) * (6000/ 10 = 600 x 8 days = $4,800) Month Actual Overhead $ September Payroll for Indirect labour 1200.00 * Miscellaneous Supplies $ 12,100.00 Power costs: Department IP-14 $ 11,100.00 Payroll for Indirect labour $ 6,500.00 Overtime Premium $ 950.00 Miscellaneous Supplies $ 19,350.00 Factory Depreciation $ 8,000.00 Payroll for Indirect labour $ 5,500.00 Property tax Allocated $ 500.00 Deprecation of Equipment $ 36.00 Total Overhead for September $ 64,036.00 * (6000/ 10 = 600 x 2 days= $1,200) Month Actual Overhead $ October $ 68,750.00 Property tax Allocated $ 500.00 Deprecation of Equipment $ 36.00 Total Overhead for October $ 69,286.00 Month Actual Overhead $ November $ 68,200.00 Property tax Allocated $ 500.00 Deprecation of Equipment $ 36.00 Total Overhead for November $ 68,736.00
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B] Overhead Costs for Department IP- 14 0 2000 4000 6000 8000 10000 0 10000 20000 30000 40000 50000 60000 70000 80000 Direct Labour Hours Adjusted Overhead ($) Direct Labour Hrs The scatter diagram above for South Pacific Industries highlights that the adjusted overhead cost for the month of July is an outlier. Therefore it should not be included in
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This note was uploaded on 12/28/2009 for the course COMMERCE AF201 taught by Professor Clayton during the Summer '09 term at University of the Sciences in Philadelphia.

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ass - Question 1 A] Month March Actual Overhead Property...

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