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Author Question: The Dougherty Furniture Company manufactures tables. In March, the two production departments had ... (Read 77 times)

appyboo

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The Dougherty Furniture Company manufactures tables. In March, the two production departments had budgeted allocation bases of 4,000 machine-hours in Department 100 and 8,000 direct manufacturing labor-hours in Department 200. The budgeted manufacturing overheads for the month were $57,500 and $62,500, respectively. For Job A, the actual costs incurred in the two departments were as follows:

Department 100Department 200
Direct materials purchased on account$110,000$177,500
Direct materials used32,50013,500
Direct manufacturing labor52,50053,500
Indirect manufacturing labor11,0009,000
Indirect materials used7,5004,750
Lease on equipment16,2503,750
Utilities1,0001,250

Job A incurred 800 machine-hours in Department 100 and 300 manufacturing labor-hours in Department 200. 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 100.
c.What is the total cost of Job A? 


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Marked as best answer by appyboo on Mar 6, 2021

Galvarado142

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appyboo

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Reply 2 on: Mar 6, 2021
Great answer, keep it coming :)


bimper21

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Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

 

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