Problem 20

# Problem 20 - Problem 15-46(50 minutes 1 Budgeted overhead...

This preview shows pages 1–3. Sign up to view the full content.

Problem 15-46 (50 minutes) 1. Budgeted overhead costs: Departme nt I Department II Variable overhead Department I: 37,500 × \$12 . .............. \$450,000 Department II: 37,500 \$6 . ................ \$ 225,000 Fixed overhead . ..................................... 225,000 225,000 Total overhead . ...................................... \$675,000 \$ 450,000 Total budgeted overhead for both departments (\$675,000 + \$450,000) . .... \$1,125,000 Total expected direct-labor hours for both departments (37,500 + 37,500) . ... 75,000 Predetermined overhead rate = = = \$15.00 per direct-labor hour 2. Standard Deluxe Total cost . ................................................. \$600.00 \$750.00 Markup (15% of cost) Standard: \$600 .15 . ........................... 90.00 Deluxe: \$750 .15 . ............................... ______ 112.50 Price . ........................................................ \$690.00 \$862.50

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

View Full Document
3. Departme nt I Department II Budgeted overhead (from requirement 1). .......................................................... \$675,000
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

### Page1 / 4

Problem 20 - Problem 15-46(50 minutes 1 Budgeted overhead...

This preview shows document pages 1 - 3. Sign up to view the full document.

View Full Document
Ask a homework question - tutors are online