4 000 Estimated total machinehours used Estimatod total fixe

4, 000 Estimated total machine-hours used Estimatod total fixed manufacturing overhead $10,000 S 15,000 $25,000 Estimated variable manufacturing overhead per machine-hour 2,500 1,500 S 1.40 2.20 Direct materials Direct labor cost Actual machine-hours used: Molding Fabrication Total $13,000 $8,000 $21,000 $7,500 1,700 600 800 900 2,300 1,700 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. 6. If Job Q included 30 units, what was its unit product cost? (Do not round intermediate calculations. Round your final answen nearest whole dollar.)

Solution

Solution: $967

Explanation:

Company’s predetermined overhead rate: 7.95

Manufacturing overhead was applied to Job Q = 1700 * 7.95 = 13,515

Total cost of job Q: direct materials + direct labor cost + overhead

Total cost of job Q: (8000 + 7500 + 13,515) / 30 units = $967