Question

# Hahn Company uses a job-order costing system. Its plantwide predetermined overhead rate uses direct labor-hours as...

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 \$13.00 per hour. During the year, the company started and completed only two jobs—Job Alpha, which used 64,200 direct labor-hours, and Job Omega. The job cost sheets for the these two jobs are shown below:

 Job Alpha Direct materials ? Direct labor ? Manufacturing overhead applied ? Total job cost \$ 1,620,000
 Job Omega Direct materials \$ 225,000 Direct labor 357,500 Manufacturing overhead applied 165,000 Total job cost \$ 747,500

Required:

 Plantwide predetermined overhead rate per DLH

2. Complete the job cost sheet for Job Alpha. (Round your intermediate calculations to 2 decimal places.)

 Direct materials Direct labor Manufacturing overhead applied Total job cost

1. Plantwide predetermined overhead rate = \$6 per hour.

Working : Job Omega

Direct labor = \$357,500

Direct labor rate =\$13 per hour

Direct labor hourd = \$357500/13 = 27,500 hours

Overhead rate = \$165,000/27500 hours = \$ 6 per hour

2.

 Job Alpha Direct materials 400,200 Direct labor 834,600 Manufacturing overhead applied 385,200 Total job cost \$ 1,620,000

Working :

Direct labor = 64,200 *\$13 = \$834,600

Manufacturing overhead = 64,200 *\$6 = \$385,200

Direct material = \$1620000-834600-385200 =\$400200

#### Earn Coins

Coins can be redeemed for fabulous gifts.