What would be the total costs charged to case 418 3

This preview shows page 1 - 4 out of 5 pages.

What would be the total costs charged to Case 418-3? Show computations by department and in total for the case. At the end of the year, the firm's records revealed the following actual cost and operating data for all cases handled during the year: Determined the amount of under applied or over applied overhead cost in each department each year.
eLearning Question 1 HOBART, EVANS, AND NIX Computations 1) 1. Research and Documents predetermined overhead rate Estimated overhead cost $ 840,000 Estimated amount of allocation base 24000 Allocation Rate $ 35 2. Litigation predetermined overhead rate Estimated overhead cost $ 360,000 Estimated amount of allocation base $ 900,000 Allocation Rate 40% 2) 2. Overhead cost applied to case 418-3: Research and Documents overhead applied $ 910 Litigation overhead applied $ 2,280 Total overhead cost $ 3,190 3) 3. Total cost of case 418-3: Departments Research & Litigation Total Documents Legal forms & supplies $ 80 $ 40 $ 120 Direct attorney cost $ 350 $ 5,700 $ 6,050 Overhead cost applied $ 910 $ 2,280 $ 3,190 $ 1,340 $ 8,020 $ 9,360 Research & Litigation 4) 4. Under or Over applied overhead Documents Department overhead cost incurred $ 870,000 $ 315,000 Department overhead cost applied $ 910,000 $ 300,000 Under (or overapplied) overhead $ (40,000) $ 15,000
eLearning Question 2 FROYA FABRIKKER A/S a. Raw materials purchased for use in production Nkr 200,000 b. c. d. Salary and wage costs were incurred: Direct labor (975 hours) Nkr 230,000 Indirect labor Nkr 90,000 Selling and admin salaries Nkr 110,000 e. Maintenance costs were incurred in the factory, Nkr 54,000. f. Advertising costs were incurred, Nkr 136,000. g. h. i. Manufacturing overhead cost applied to jobs, Nkr j. Cost of goods manufactured for the year, Nkr 770,000 k. The balances in the inventory accounts at the beginning of the years were: Raw materials Nkr 30,000 Work in process Nkr 21,000 Finished goods Nkr 60,000 Required 1. Prepare journal entries to record the preceding data 2. Prepare a schedule of costs of goods manufactured. 3. 4. Prepare an income statement for the year. 5 Froya Fabrikker A/S of Bergen, Norway, is a small company that manufactures specialty heavy equipment for use in North Sea oil fields. ( The Norwegian currency is the krone, which is denoted by Nkr.) The company uses a job order costing system and applied manufacturing overhead costs to jobs on the basis of direct labour hours. At the beginning of the year, the ?

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture