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

question 10

Essay

Posson 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 20,000 machine-hours, total fixed manufacturing overhead cost of $130,000, and a variable manufacturing overhead rate of $3.00 per machine-hour.Job K789, which was for 10 units of a custom product, was recently completed.The job cost sheet for the job contained the following data: Required:
a.Calculate the predetermined overhead rate for the year.
b.Calculate the amount of overhead applied to Job K789.
c.Calculate the total job cost for Job K789.
d.Calculate the unit product cost for Job K789.

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Definitions:

Job Rotation

A strategic human resources technique involving moving employees through a variety of jobs at the same company to increase their knowledge and skills.

Performance Aid

Tools or resources used to improve or facilitate the performance of tasks, ranging from written guides to software applications.

Pre-flight Checklist

A comprehensive list of items to be checked or tasks to be completed before beginning a flight to ensure safety and readiness.

On-the-job Training

Training provided at the workplace while the employee is doing their actual job, often through direct instruction, shadowing, or hands-on practice, to develop job-specific skills.