Duggan Company applies manufacturing overhead to jobs on the basis of machine hours used. Overhead costs are expected to total $301,440 for the year, and machine usage is estimated at 125,600 hours.
For the year, $323,140 of overhead costs are incurred and 132,900 hours are used.
Question 1????Duggan Company applies manufacturing overhead to jobs on the basis of machine hours used. Overhead costs are expected to total $301,440 for the year, and machine usage is estimated at 125,600 hours.??For the year, $323,140 of overhead costs are incurred and 132,900 hours are used. ????????? ?? ?? HYPERLINK “javascript:void(0)” ? ? (a)????Compute the manufacturing overhead rate for the year. (Round answers to 2 decimal places, e.g. 1.25.) Manufacturing overhead rate??$? per machine hour?????????? Question 2????The ledger of Custer Company has the following work in process account. Work in Process—Painting??5/1 ?Balance ?3,810 ? 5/31?Transferred out????5/31 ?Materials ?5,380 ?????5/31 ?Labor ?3,500 ?????5/31 ?Overhead ?1,630 ? ? ? ??5/31 ?Balance ????????Production records show that there were 400 units in the beginning inventory, 30% complete, 1,540 units started, and 1,590 units transferred out. The beginning work in process had materials cost of $2,150 and conversion costs of $1,660. The units in ending inventory were 40% complete. Materials are entered at the beginning of the painting process. ????????? ?? ?? HYPERLINK “javascript:void(0)” ? ? (a), (b) and (c)????(a) How many units are in process at May 31? Work in process, May 31??? units???(b) What is the unit materials cost for May? (Round unit costs to 2 decimal places, e.g. 2.25.) The unit materials cost for May??$???(c) What is the unit conversion cost for May? (Round unit costs to 2 decimal places, e.g. 2.25.) The unit conversion cost for May??$???????? Question 3????Wilkins Inc. has two types of handbags: standard and custom. The controller has decided to use a plantwide overhead rate based on direct labor costs. The president has heard of activity-based costing and wants to see how the results would differ if this system were used. Two activity cost pools were developed: machining and machine setup. Presented below is information related to the company’s…
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Week-4-part-1….docx