Hahn Company uses a joborder costing system Its plantwide pr

Hahn Company uses a job-order costing system. Its plantwide predetermined overhead rate uses direct labor-hours as the allocation base. The company pays its direct laborers $15.50 per hour. During the year, the company started and compl Alpha, which used 64,400 direct labor-hours, and Job Omega. The job cost sheets for the these two jobs are Manufacturing overhead applied Total job cost $ 1,79e s 276 Direct materials Direct Labor Manufacturing overhead applied Total job cost 401,450 Required: 1. Calculate the plantwide predetermined overhead rate. 2. Complete the job cost sheet for Job Alpha Complete this question by entering your answers in the tabs below oe

Solution

1. Direct Labour hours for Job Omega = 401,450/15.5 = 25900 hours

Plantwide Overhead Rate = 220,150/25900 = $8.5 per hour

2. Job Alpha:

Direct materials (1790000-998200-547400)	244400
Direct Labour (64400*15.5)	998200
Manufacturing overhead applied (64400*8.5)	547400
Total Job Cost	1790000