Bierce Corporation Has Two Manufacturing Departments--Machining and Finishing

Question

Examlex · Accepted Answer

The Answer is a.The first step is to calculate the estimated total overhead costs in the two departments.Machining

Finishing

The second step is to combine the estimated manufacturing overhead costs in the two departments (${{[a(20)]:#,###}} + ${{[a(21)]:#,###}} = ${{[a(24)]:#,###}}) to calculate the plantwide predetermined overhead rate as follows:

b.The overhead applied to Job B is calculated as follows:Overhead applied to a particular job = Predetermined overhead rate × Machine-hours incurred by the job= ${{[a(25)]:#,###.00}} per machine-hour × ({{[a(13)]:#,###}} machine-hours + {{[a(15)]:#,###}} machine-hours)= ${{[a(25)]:#,###.00}} per machine-hour × ({{[a(26)]:#,###}} machine-hours)= ${{[a(27)]:#,###}}c.The overhead applied to Job K is calculated as follows:Overhead applied to a particular job = Predetermined overhead rate × Machine-hours incurred by the job= ${{[a(25)]:#,###.00}} per machine-hour × ({{[a(14)]:#,###}} machine-hours + {{[a(16)]:#,###}} machine-hours)= ${{[a(25)]:#,###.00}} per machine-hour × ({{[a(28)]:#,###}} machine-hours)= ${{[a(29)]:#,###}}d.Machining Department predetermined overhead rate:

e.Finishing Department predetermined overhead rate:

f.Manufacturing overhead applied to Job B:

g.Manufacturing overhead applied to Job K:

Bierce Corporation Has Two Manufacturing Departments--Machining and Finishing

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