Question

# Bart Corp uses a normal job-order costing system with overhead applied plantwide to products on the...

Bart Corp uses a normal job-order costing system with overhead applied plantwide to products on the basis of direct labor hours. For the upcoming year, Bart Corp estimated total fixed manufacturing overhead cost at \$100,000 total estimated manufacturing overhead per unit of \$3 per direct labor hour, and total direct labor hours of 50,000.

A.Calculate the Predetermined rate for Bart Corp.

B. Calculate the Estimated Total Manufacturing Overhead for Bart Corp.

#### Homework Answers

Answer #1

Total fixed manufacturing overhead = \$100,000

Estimated manufacturing overhead rate = \$3 per direct labor hours

Estimated direct labor hours = 50,000

A.

Predetermined overhead rate = Estimated manufacturing overhead rate

= \$3 per direct labor hours

The Predetermined rate for Bart Corp.= \$3 per direct labor hours

B.

Estimated total manufacturing overhead = Estimated direct labor hours x Predetermined overhead rate

= 50,000 x 3

= \$150,000

The Estimated Total Manufacturing Overhead for Bart Corp = \$150,000

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