Agassl Company uses a job order cost system in each of its three manufacturing d
ID: 2463415 • Letter: A
Question
Agassl Company uses a job order cost system in each of its three manufacturing departments, Manufacturing overhead is applied to jobs on the basis of dirct labor cost in Department D,direct labor hours in Department E, and machine hours in Department K. In establishing the predetermined overhead rates for 2014, the following estimates were made for the year. Compute the predetermined overhead rate for each department. Compute the predetermined overhead rate for each department. The parts of this question must be completed in order. This part will be available when you complete the bove.Explanation / Answer
Statement showing computations of Predetermined Overhead of Deptt D Particulars Amount Manufacturing overhead 1,230,056.00 Direct Labour costs 1,501,900.00 Predetermined O/H rate = Manu O/H /DLC = 1230,056/1501,900 0.82 Statement showing computations of Predetermined Overhead of Deptt E Particulars Amount Manufacturing overhead 1,501,895.00 Direct Labour Hours 108,050.00 Predetermined O/H rate = Manu O/H /DLH = 1501,895/108,050 13.90 Statement showing computations of Predetermined Overhead of Deptt K Particulars Amount Manufacturing overhead 1,145,860.00 Machine Hours 121,900.00 Predetermined O/H rate = Manu O/H /MH = 1145,860/121900 9.40