In December 2012, Shire Computer's management establishes the year 2013 predetermined overhead rate based on direct labor cost. The information used in setting this rate includes estimates that the company will incur $805,600 of overhead costs and $530,000 of direct labor cost in year 2013. During March 2013, Shire began and completed Job No. 13-56.
| 1. |
What is the predetermined overhead rate for year 2013? |
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| 2. |
Use the information on the following job cost sheet. (Round your answer to the nearest dollar amount.)
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| JOB COST SHEET |
| Customer's Name |
Keiser Co. |
Job No. |
13-56 |
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| Job Description |
5 plasma monitors-61 inch |
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Direct Materials |
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Direct Labor |
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Overhead
Costs Applied |
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| Date |
Requisition No. |
Amount |
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Time-Ticket No. |
Amount |
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Rate |
Amount |
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| Mar. 8 |
4-129 |
$ |
7,000 |
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T-306 |
$ |
680 |
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| Mar. 11 |
4-142 |
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6,750 |
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T-432 |
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1,340 |
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| Mar. 18 |
4-167 |
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3,600 |
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T-456 |
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1,280 |
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| Totals |
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Determine the total cost of the job.
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