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Activity Cost Allocation Base Budgeted MOH Budgeted Base Usage Mixing Mixing machine hours $45,000 1,800 Molding...
Activity Cost Allocation Base Budgeted MOH Budgeted Base Usage Mixing Mixing machine hours $45,000 1,800 Molding Molding machine hours $360,000 2,000 Polishing Polishing labor hours $52,000 6,500 Packing Packing labor hours $29,260 3,800 Weasley received an order for 7,000 units. Each unit required direct materials costing $17.00. Weasley had to manufacture 10 extra units and repair 16 units after 20 units were run over by a truck (including 4 that were completely destroyed) and 6 units were spoiled as a normal part of the production process. Total direct labor costs for the job (including the extra units) were $20,056. The job (including the extra units) required 120 mixing machine hours, 170 molding machine hours, 540 polishing labor hours, and 300 packing hours. Repair costs totaled $200.
c. How much spoilage and rework cost should be added to manufacturing overhead as a result of this job?
d. How much spoilage and rework cost should be added to a loss account because of this job?
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Activity Cost Allocation Base Budgeted MOH Budgeted Base Usage Mixing Mixing machine hours $45,000 1,800 Molding...
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