281
production department. The Machining Department’s predetermined overhead rate is based on
machine-hours and the Customizing Department’s predetermined overhead rate is based on direct
labor-hours. At the beginning of the current year, the company had made the following estimates:
Machining
Customizing
Machine-hours
16,000
11,000
Direct labor-hours
2,000
6,000
Total fixed manufacturing overhead cost
$
104,000
$
56,400
Variable manufacturing overhead per machine-hour
$
2.10
Variable manufacturing overhead per direct labor-hour
$
3.30
During the current month the company started and finished Job T272. The following data were
recorded for this job:
Job T272:
Machining
Machine-hours
60
30
Direct labor-hours
10
60
The amount of overhead applied in the Machining Department to Job T272 is closest to:
A) $137,600.00
B) $126.00
C) $516.00
D) $564.00
283
208) Eisentrout Corporation has two production departments, Machining and Customizing. The
company uses a job-order costing system and computes a predetermined overhead rate in each
production department. The Machining Department’s predetermined overhead rate is based on
machine-hours and the Customizing Department’s predetermined overhead rate is based on direct
labor-hours. At the beginning of the current year, the company had made the following estimates:
Machining
Customizing
Machine-hours
16,000
11,000
Direct labor-hours
2,000
6,000
Total fixed manufacturing overhead cost
$
104,000
$
56,400
Variable manufacturing overhead per machine-hour
$
2.10
Variable manufacturing overhead per direct labor-hour
$
3.30
During the current month the company started and finished Job T272. The following data were
recorded for this job:
Job T272:
Machining
Machine-hours
60
30
Direct labor-hours
10
60
The amount of overhead applied in the Customizing Department to Job T272 is closest to:
A) $76,200.00
B) $762.00
C) $564.00
D) $198.00
285
209) Stoke Corporation has two production departments, Forming and Assembly. The company
uses a job-order costing system and computes a predetermined overhead rate in each production
department. The Forming Department’s predetermined overhead rate is based on machine-hours
and the Assembly Department’s predetermined overhead rate is based on direct labor-hours. At the
beginning of the current year, the company had made the following estimates:
Forming
Assembly
Machine-hours
20,000
15,000
Direct labor-hours
2,000
7,000
Total fixed manufacturing overhead cost
$
138,000
$
58,100
Variable manufacturing overhead per machine-hour
$
2.30
Variable manufacturing overhead per direct labor-hour
$
3.00
During the current month the company started and finished Job A460. The following data were
recorded for this job:
Job A460:
Forming
Machine-hours
80
10
Direct labor-hours
30
50
The amount of overhead applied in the Forming Department to Job A460 is closest to:
A) $184,000.00
B) $184.00
C) $736.00
D) $664.00
287
210) Stoke Corporation has two production departments, Forming and Assembly. The company
uses a job-order costing system and computes a predetermined overhead rate in each production
department. The Forming Department’s predetermined overhead rate is based on machine-hours
and the Assembly Department’s predetermined overhead rate is based on direct labor-hours. At the
beginning of the current year, the company had made the following estimates:
Forming
Assembly
Machine-hours
20,000
15,000
Direct labor-hours
2,000
7,000
Total fixed manufacturing overhead cost
$
138,000
$
58,100
Variable manufacturing overhead per machine-hour
$
2.30
Variable manufacturing overhead per direct labor-hour
$
3.00
During the current month the company started and finished Job A460. The following data were
recorded for this job:
Job A460:
Forming
Machine-hours
80
10
Direct labor-hours
30
50
The amount of overhead applied in the Assembly Department to Job A460 is closest to:
A) $415.00
B) $150.00
C) $565.00
D) $79,100.00
289
211) Vanliere Corporation has two production departments, Machining and Finishing. The
company uses a job-order costing system and computes a predetermined overhead rate in each
production department. The Machining Department’s predetermined overhead rate is based on
machine-hours and the Finishing Department’s predetermined overhead rate is based on direct
labor-hours. At the beginning of the current year, the company had made the following estimates:
Machining
Finishing
Machine-hours
19,000
11,000
Direct labor-hours
3,000
6,000
Total fixed manufacturing overhead cost
$
138,700
$
52,800
Variable manufacturing overhead per machine-hour
$
1.90
Variable manufacturing overhead per direct labor-hour
$
3.80
During the current month the company started and finished Job A803. The following data were
recorded for this job:
Job A803:
Machining
Machine-hours
90
20
Direct labor-hours
20
60
The predetermined overhead rate for the Finishing Department is closest to:
A) $8.80 per direct labor-hour
B) $3.98 per direct labor-hour
C) $12.60 per direct labor-hour
D) $3.80 per direct labor-hour
212) Vanliere Corporation has two production departments, Machining and Finishing. The
290
company uses a job-order costing system and computes a predetermined overhead rate in each
production department. The Machining Department’s predetermined overhead rate is based on
machine-hours and the Finishing Department’s predetermined overhead rate is based on direct
labor-hours. At the beginning of the current year, the company had made the following estimates:
Machining
Finishing
Machine-hours
19,000
11,000
Direct labor-hours
3,000
6,000
Total fixed manufacturing overhead cost
$
138,700
$
52,800
Variable manufacturing overhead per machine-hour
$
1.90
Variable manufacturing overhead per direct labor-hour
$
3.80
During the current month the company started and finished Job A803. The following data were
recorded for this job:
Job A803:
Machining
Machine-hours
90
20
Direct labor-hours
20
60
The amount of overhead applied in the Machining Department to Job A803 is closest to:
A) $828.00
B) $792.00
C) $171.00
D) $174,800.00
292
213) Ahlheim Corporation has two production departments, Forming and Assembly. The
company uses a job-order costing system and computes a predetermined overhead rate in each
production department. The Forming Department’s predetermined overhead rate is based on
machine-hours and the Assembly Department’s predetermined overhead rate is based on direct
labor-hours. At the beginning of the current year, the company had made the following estimates:
Forming
Assembly
Machine-hours
16,000
15,000
Direct labor-hours
2,000
6,000
Total fixed manufacturing overhead cost
$
102,400
$
55,200
Variable manufacturing overhead per machine-hour
$
2.30
Variable manufacturing overhead per direct labor-hour
$
4.50
During the current month the company started and finished Job T924. The following data were
recorded for this job:
Job T924:
Forming
Machine-hours
70
20
Direct labor-hours
30
40
Direct materials
$
870
$
385
Direct labor cost
$
630
$
840
The estimated total manufacturing overhead for the Forming Department is closest to:
A) $36,800
B) $102,400
C) $309,867
D) $139,200
214) Ahlheim Corporation has two production departments, Forming and Assembly. The
293
company uses a job-order costing system and computes a predetermined overhead rate in each
production department. The Forming Department’s predetermined overhead rate is based on
machine-hours and the Assembly Department’s predetermined overhead rate is based on direct
labor-hours. At the beginning of the current year, the company had made the following estimates:
Forming
Assembly
Machine-hours
16,000
15,000
Direct labor-hours
2,000
6,000
Total fixed manufacturing overhead cost
$
102,400
$
55,200
Variable manufacturing overhead per machine-hour
$
2.30
Variable manufacturing overhead per direct labor-hour
$
4.50
During the current month the company started and finished Job T924. The following data were
recorded for this job:
Job T924:
Forming
Machine-hours
70
20
Direct labor-hours
30
40
Direct materials
$
870
$
385
Direct labor cost
$
630
$
840
The estimated total manufacturing overhead for the Assembly Department is closest to:
A) $27,000
B) $55,200
C) $82,200
D) $47,700
215) Ahlheim Corporation has two production departments, Forming and Assembly. The
company uses a job-order costing system and computes a predetermined overhead rate in each
294
production department. The Forming Department’s predetermined overhead rate is based on
machine-hours and the Assembly Department’s predetermined overhead rate is based on direct
labor-hours. At the beginning of the current year, the company had made the following estimates:
Forming
Assembly
Machine-hours
16,000
15,000
Direct labor-hours
2,000
6,000
Total fixed manufacturing overhead cost
$
102,400
$
55,200
Variable manufacturing overhead per machine-hour
$
2.30
Variable manufacturing overhead per direct labor-hour
$
4.50
During the current month the company started and finished Job T924. The following data were
recorded for this job:
Job T924:
Forming
Machine-hours
70
20
Direct labor-hours
30
40
Direct materials
$
870
$
385
Direct labor cost
$
630
$
840
The total amount of overhead applied in both departments to Job T924 is closest to:
A) $1,157
B) $548
C) $609
D) $1,705
216) Merati Corporation has two manufacturing departments—Forming and Assembly. The
company used the following data at the beginning of the year to calculate predetermined overhead
rates:
Forming
Assembly
Total
Estimated total machine-hours (MHs)
5,000
5,000
10,000
Estimated total fixed manufacturing overhead cost
$
28,000
$
10,500
$
38,500
Estimated variable manufacturing overhead cost
per MH
$
1.80
$
2.60
During the most recent month, the company started and completed two jobs—Job B and Job L.
There were no beginning inventories. Data concerning those two jobs follow:
Job A
Job L
Forming machine-hours
3,400
1,600
Assembly machine-hours
2,000
3,000
Assume that the company uses departmental predetermined overhead rates with machine-hours as
the allocation base in both departments. The departmental predetermined overhead rate in the
Forming Department is closest to:
A) $5.60
B) $7.40
C) $1.80
D) $6.05
Estimated fixed manufacturing overhead
$
28,000
Estimated variable manufacturing overhead ($1.80
per MH × 5,000 MHs)
Estimated total manufacturing overhead cost (a)
$
37,000
Estimated total machine-hours (b)
5,000
MHs
Departmental predetermined overhead rate (a) ÷ (b)
$
7.40
per
217) Merati Corporation has two manufacturing departments—Forming and Assembly. The
company used the following data at the beginning of the year to calculate predetermined overhead
rates:
Forming
Assembly
Total
Estimated total machine-hours (MHs)
5,000
5,000
10,000
Estimated total fixed manufacturing overhead cost
$
28,000
$
10,500
$
38,500
Estimated variable manufacturing overhead cost
per MH
$
1.80
$
2.60
During the most recent month, the company started and completed two jobs—Job B and Job L.
There were no beginning inventories. Data concerning those two jobs follow:
Job A
Job L
Forming machine-hours
3,400
1,600
Assembly machine-hours
2,000
3,000
Assume that the company uses departmental predetermined overhead rates with machine-hours as
the allocation base in both departments. The departmental predetermined overhead rate in the
Assembly Department is closest to:
A) $2.60
B) $4.70
C) $6.05
D) $2.10
Estimated fixed manufacturing overhead
$
10,500
Estimated variable manufacturing overhead ($2.60
per MH × 5,000 MHs)
13,000
Estimated total manufacturing overhead cost (a)
$
23,500
Estimated total machine-hours (b)
5,000
MHs
per
298
218) Merati Corporation has two manufacturing departments—Forming and Assembly. The
company used the following data at the beginning of the year to calculate predetermined overhead
rates:
Forming
Assembly
Total
Estimated total machine-hours (MHs)
5,000
5,000
10,000
Estimated total fixed manufacturing overhead cost
$
28,000
$
10,500
$
38,500
Estimated variable manufacturing overhead cost
per MH
$
1.80
$
2.60
During the most recent month, the company started and completed two jobs—Job B and Job L.
There were no beginning inventories. Data concerning those two jobs follow:
Job A
Job L
Forming machine-hours
3,400
1,600
Assembly machine-hours
2,000
3,000
Assume that the company uses departmental predetermined overhead rates with machine-hours as
the allocation base in both production departments. The manufacturing overhead applied to Job B
is closest to:
A) $9,400
B) $25,160
C) $32,670
D) $34,560
300
219) Merati Corporation has two manufacturing departments—Forming and Assembly. The
company used the following data at the beginning of the year to calculate predetermined overhead
rates:
Forming
Assembly
Total
Estimated total machine-hours (MHs)
5,000
5,000
10,000
Estimated total fixed manufacturing overhead cost
$
28,000
$
10,500
$
38,500
Estimated variable manufacturing overhead cost
per MH
$
1.80
$
2.60
During the most recent month, the company started and completed two jobs—Job B and Job L.
There were no beginning inventories. Data concerning those two jobs follow:
Job A
Job L
Forming machine-hours
3,400
1,600
Assembly machine-hours
2,000
3,000
Assume that the company uses departmental predetermined overhead rates with machine-hours as
the allocation base in both production departments. The manufacturing overhead applied to Job L
is closest to:
A) $27,830
B) $11,840
C) $25,940
D) $14,100