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Author Question: Bauer Manufacturing uses departmental cost driver rates to allocate manufacturing overhead costs to ... (Read 101 times)

JMatthes

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on: Mar 6, 2021
Bauer Manufacturing uses departmental cost driver rates to allocate manufacturing overhead costs to products. Manufacturing overhead costs are allocated on the basis of machine-hours in the Machining Department and on the basis of direct labor-hours in the Assembly Department. At the beginning of 2018, the following estimates were provided for the coming year:

MachiningAssembly
Direct labor-hours60,00025,000
Machine-hours30,00040,000
Direct labor cost$550,000$850,000
Manufacturing overhead costs$420,000$240,000

The accounting records of the company show the following data for Job #316:

MachiningAssembly
Direct labor-hours12080
Machine-hours705
Direct material cost$325$150
Direct labor cost$150$475
What amount of manufacturing overhead costs will be allocated to Job #316?
◦ $1,460.00
◦ $970.00
◦ $1,748.00
◦ $1,188.00
Horngren's Cost Accounting: A Managerial Emphasis ¦ Datar, Rajan ¦ 16th Edition
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Marked as best answer by JMatthes on Mar 6, 2021

efwsefaw

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Reply #1 on: Mar 6, 2021
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JMatthes

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Reply 2 on: Mar 6, 2021
:D TYSM

flexer1n1

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Reply 3 on: Yesterday
Great answer, keep it coming :)

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