Sweeten Company had no jobs in progress at the beginning of

Sweeten Company had no jobs in progress at the beginning of March and no beginning inventories. The company has two manufacturing departments-Molding and Fabrication. It started, completed, and sold only two jobs during March Job P and Job Q. The following additional information is available for the company as a whole and for Jobs P and Q (all data and questions relate to the month of March) Molding Fabrication Total 4,000 $12,250 $16,350 $28,600 2,500 Estimated total machine-hours used Estimated total fixed manufacturing overhead Estimated variable manufacturing overhead per machine-hour 1,500 $ 2.30 3.10 Job Q $22,000 $12,500 $28,200 $11,100 Job P Direct materials Direct labor cost Actual machine-hours used: Molding Fabrication Total 2,600 1,500 4,100 1,700 1,800 3,500 Sweeten Company had no underapplied or overapplied manufacturing overhead costs during the month Required For questions 1-8, assume that Sweeten Company uses a plantwide predetermined overhead rate with machine-hours as the allocation base. For questions 9-15, assume that the company uses departmental predetermined overhead rates with machine-hours as the allocation base in both departments Foundational 2-13 13. If Job Q included 30 units, what was its unit product cost? (Do not round intermediate calculations. Round your final answer to

Solution

Predetermined overhead rate Molding department 7.20 per MH =2.3+(12250/2500) Fabrication department 14.00 per MH =3.1+(16350/1500) 13 Direct materials 12500 Direct labor 11100 Overhead: Molding department 12240 =1700*7.2 Fabrication department 25200 =1800*14 Total cost 61040 Units 30 Unit product cost 2034.67