Question - Alpha Company received an order for 100 units of manufactured product. The order was assigned to Job ABC. The actual number of direct labor hours for Job ABC was 500. The machine hours used for Job ABC was 100. Direct labor incurred for Job ABC was $5,000. Direct materials used were $1,000.
a. How much manufacturing overhead is applied to Job ABC using the predetermined overhead rate of $4.00?
b. How much manufacturing overhead is applied to Job ABC using the predetermined overhead rate of $2.75?
c. What is the unit product cost using the applied manufacturing overhead that was calculated in question 2a above?
d. What is the unit product cost using the applied manufacturing overhead that was calculated in question 2b above?