Marblex Manufactures Marble Statues Job a Incurred 800 Machine-Hours in Department X and 300

question 2

Essay

Marblex manufactures marble statues.In March,the two production departments had budgeted allocation bases of 4,000 machine-hours in Department X and 8,000 direct manufacturing labor-hours in Department Y.The budgeted manufacturing overheads for the month were $60,000 and $64,000,respectively.For Job A,the actual costs incurred in the two departments were as follows:
$\begin{array}{lrr}&\text { Department } X&\text { Department } Y\\\text { Direct materials purchased on account } & \$ 110,000 & \$ 177,500 \\\text { Direct materials used } & 40,000 & 13,500 \\\text { Direct manufacturing labor } & 55,000 & 53,500 \\\text { Indirect manufacturing labor } & 11,000 & 9,000 \\\text { Indirect materials used } & 5,000 & 4,750 \\\text { Lease on equipment } & 16,250 & 3,750 \\\text { Utilities } & 1,000 & 1,250\end{array}$ Job A incurred 800 machine-hours in Department X and 300 manufacturing labor-hours in Department Y.The company uses a budgeted overhead rate for applying overhead to production.
Required:
a.Determine the budgeted manufacturing overhead rate for each department.
b.Prepare the necessary journal entries to summarize the March transactions for Department X.
c.What is the total cost of Job A?

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Definitions:

Illusion Of Agreement

The false perception that consensus has been achieved in a group when, in reality, members may not fully understand or support the decision.

Mediator

An impartial individual who facilitates dialogue between conflicting parties to help them reach a mutual agreement.

Conflicts

Situations where there are disagreements, opposing interests, or disputes between individuals or groups, potentially requiring resolution or mediation.

Dissension

The presence of disagreement, dispute, or difference of opinion within a group, often leading to conflict.