Cardosa Corporation Uses a Job-Order Costing System with a Single

question 140

Essay

Cardosa Corporation uses a job-order costing system with a single plantwide predetermined overhead rate based on machine-hours.The company based its predetermined overhead rate for the current year on 70,000 machine-hours,total fixed manufacturing overhead cost of $308,000,and a variable manufacturing overhead rate of $2.10 per machine-hour.Job M556,which was for 50 units of a custom product,was recently completed.The job cost sheet for the job contained the following data:
Required:
a.Calculate the total job cost for Job M556.
b.Calculate the unit product cost for Job M556.

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Definitions:

Managed Floating

A system where a country's exchange rate is allowed to fluctuate in response to the foreign exchange market, but the central bank intervenes to stabilize the currency when necessary.

Exchange Rates

The value of one currency in terms of another currency, which determines how much foreign currency can be obtained with a unit of domestic currency.

Governments

Central or local governmental bodies that manage and administer public policies, laws, and services within a specified territory.

Disorderly Fluctuations

Irregular and unpredictable changes in financial or commodity markets that can cause instability.