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ID: 2521037 • Letter: C
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Ch 2 Homework Saved Help Save & Exit Submit Check my work Required information [The following information applies to the questions displayed below.j Part 7 of 15 Sweeten Company had no jobs in progress at the beginning of March and no beginning inventories The company has two manufacturing departments-Molding and Fabrication. It started, completed, and sold only two jobs during March-Job P and Job Q. The following additional information is available for the company as a whole and for Jobs P and Q (all data and questions relate to the month of March) 0.66 points Estimated total machine-hours used Estimated total fixed manufacturing overhead Estimated variable manufacturing overhead per machine-hour Molding Fabrication Total 4,000 $14,750 $17,850 $32,600 2,500 1,500 eBook $ 3.30 4.10 Print Job P Job Q $32,000 $17,500 $36,200 $15,100 Direct materials Direct labor cost Actual machine-hours used: Molding Fabrication Total References 3,600 2,500 6,100 2,700 2,800 5,500 Sweeten Company had no underapplied or overapplied manufacturing overhead costs during the month. Required For questions 1-8, assume that Sweeten Company uses a plantwide predetermined overhead rate with machine-hours as the allocation base. For questions 9-15, assume that the company uses departmental predetermined overhead rates with machine-hours as the allocation base in both departments. Assume that Sweeten Company used cost-plus pricing (and a markup percentage of 80% of total manufacturing cost) to establish selling prices for all of its jobs. What selling price would the company have established for Jobs P and Q? What are the selling prices for both jobs when stated on a per unit basis assuming 20 units were produced for Job P and 30 units were produced for Job Q? (Do not round intermediate calculations. Round your final answers to nearest whole dollar.) Job P Job Q Total price for the job Selling price per unit Graw Hill Prev 15 of 15 Next>Explanation / Answer
Q7. Pre-determined OH rate: Estimated OH(fixed+Variable) / Machine hours (32600+2500*3.30+1500*4.10) / 4000 = $ 9.875 per MH Totak cost JOB P JOB Q Materiall 32000 17,500 labour 36200 15100 OH assigned: Job P (6100 MH @9.875) 60237.5 Job Q (5500 MH @ 9.875) 54312.5 Total cost 128438 86912 Add: Mark up @80% 102750.4 69529.6 Sales value 231188 156442 Number of units 20 30 Selling price 11559.4 5214.733 Job P Job Q Total Price 231188 156442 Selling price 11559.4 5214.73 Q8. Cost of Goods sold: Cost of manufactruign Cost for Job P 128438 Cost of manufacturing cocst for Job Q: 86912 COGS 215350