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based on this information, the overhead applied to job ABC using multiple predetermined overhead rates is

2.30 x 17 + 1.80 x 13 = 64.20

based on this information, the overhead applied to job ABC using multiple pretermined overhead rates is

2.40 x 18 + 1.80 x 22 = 82.80

The predetermined overhead rate for machine hours is calculated by dividing the estimated manufacturing overhead cost total by the estimated number of machine hours.

This formula refers to the predetermined overhead because this overhead total is based on estimations, rather than the actual cost.

what methods can be used to dispose of underapplied or overapplied manufacturing overhead

allocating it among work in process, finished goods, and cost of goods sold- closing it out to cost of goods sold

to calculate total manufacturing costs, add direct materials, direct labor and

applied manufacturing overhead

unadjusted cogs

beg finished goods inventory + cogm - ending finished goods inv

which of the following are used to calculate cost of goods avail for sale on the schedule of cost of goods sold

beg finished goods inventory, cost of goods manufactured

raw materials inventory was 27k at the beginning of the year and 25k at the end of the year. during the year, 100k in raw materials were purchased, includeing 28k of indirect materials that were put into manufacturing overhead during the period. calculate Cost of direct materials

beg inv + purchases - indirect mat - ending inv

a predetermined overhead rate is calculated by dividing the estimated total manufacturing overhead

by the estimated total amount of the allocation base

differential cost analysis equa

change in rev - change in variables and fixed costs

cost of goods avail for sale

cogm + beg fin goods inv

finished goods

consists of completed, unsold goods

is actual manufacturing overhead debited or credited to the manufacturing overhead account

debited

the adjustment for overapplied overhead

decreases cost of goods sold and increases net income

based on this information, the predetermined overhead rate per direct labor dollar is

dept A estimated MO / dept A estimated direct labor cost

Converison Cost equat

direct labor + variable man overhead + fixed manufacturing overhead

total product cost equa

direct materials + direct labor + variable man overhead + fixed man overhead

to calculate direct materials on the schedule of cost of goods manufactured, add purchases to beginning raw materials inventory and subtract

ending raw materials inventory and indeirect materials used

manufacturing overhead

factory maintenance wages, factory utilities, factory rent

traditional format net income equa

gross margin - total selling and admin exp

as the level of activity moves outside of the relevant range, fixed costs:

increase or decrease in discrete steps

the period ends

manufacturing overhead is closed

overhead applied to work in process

manufacturing overhead is credited

actual overhead is incurred

manufacturing overhead is debited

actual overhead costs may not be proportional to the actual amount of the allocation base used because

many actual overhead costs are fixed, overhead spending may not be under control

step-variable costs

may include total salaried employee expense, can be adjusted quickly as conditions change

a credit balance in the manufacturing overhead account means that overhead was

overapplied

within the relevant range, fixed costs

remain constant in total regardless of changes in activity, should not be expressed on a per unit bases when making decisions, generally include rent and supervisor salaries

when calculating the cost of direct materials on the schedule of cost of goods manufactured, the cost of indirect materials is

subtracted from raw materials used in production

manufacturing overhead includes

the factory supervisors salary, factory insurance