Fickel Company has two manufacturing departments—Assembly and Testing & Packaging. The predetermined overhead rates in Assembly and Testing & Packaging are $26.00 per direct labor-hour and $22.00 per direct labor-hour, respectively. The company’s direct labor wage rate is $28.00 per hour. The following information pertains to Job N-60:
| Assembly | Testing & Packaging | ||||||
| Direct materials | $ | 410 | $ | 53 | |||
| Direct labor | $ | 322 | $ | 70 | |||
Required:
1. What is the total manufacturing cost assigned to Job N-60? (Do not round intermediate calculations.)
2. If Job N-60 consists of 10 units, what is the unit product cost for this job? (Do not round intermediate calculations. Round your answer to 2 decimal places.)
| Testing & | ||||||||
| 1) | Particulars | Assembly | Workings | Packaging | Workings | Total | ||
| Direct Materials | $ 410.00 | $ 53.00 | $ 463.00 | |||||
| Direct Labor | $ 322.00 | $ 70.00 | $ 392.00 | |||||
| Manufacturing OH | $ 299.00 | ($ 322 x $ 26/ $ 28) | $ 55.00 | ($ 70 x $ 22 / $ 28) | $ 354.00 | |||
| Total Manufacturing Cost | $ 1,031.00 | $ 178.00 | $1,209.00 | |||||
| 2) | Unit product cost | = | $ 1209 / 10 units | ||
| = | $ 120.90 | per unit | |||
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