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Author Question: Howard & Sons allocates manufacturing overhead to jobs based on machine hours. The company has the ... (Read 264 times)

justinmsk

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Howard & Sons allocates manufacturing overhead to jobs based on machine hours. The company has the following estimated costs for the upcoming year:

Direct materials used $50,000
Direct labour costs $70,000
Wages of factory janitors $35,000
Sales supervisor salary $51,000
Utilities for factory $17,000
Rent on factory building $12,000
Advertising expense $5,000

The company estimates that 1,600 direct labour hours will be worked in the upcoming year, while 1,000 machine hours will be used during the year.


At Howard & Sons the predetermined manufacturing overhead rate per machine hour will be
◦ $29.
◦ $120.
◦ $240.
◦ $64.


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Marked as best answer by justinmsk on Jan 4, 2020

brittanywood

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justinmsk

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Reply 2 on: Jan 4, 2020
Thanks for the timely response, appreciate it


bulacsom

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Reply 3 on: Yesterday
Excellent

 

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