ADMS2510 F2010 Midterm I-V1A_ with Solutions

631575 department machine hours direct labour hours

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Unformatted text preview: hours Direct materials cost Direct labour cost A 250 70 $840 $630 B 60 120 $1,100 $1080 Department Machine hours Direct labour hours Direct materials cost Manufacturing overhead cost (variable + fixed) A 61,000 28,000 $156,000 $485,000 B 20,000 66,000 $284,000 $729,000 (a) Variable overhead rates Department A = $2.00 per Machine hour ($39,280 – $37,680) / (5,800 – 5,000) = $2 Department B = $1.00 per Direct Labour hour ($58,750 – $57,350) / (5,600 – 4,200) = $1 Department Fixed manufacturing overhead cost Machine-hours Direct labour hours A $352,000 64,000 Per MH = $5.50 [1 mark] B $631,575 60,150 Per DLH = 10.50 [1 mark] Department Machine hours Direct labour h...
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