A company uses a job-order costing system with a single plan…

A company uses a job-order costing system with a single plantwide predetermined overhead rate based on direct labor-hours. The company based its predetermined overhead rate for the current year on total fixed manufacturing overhead cost of $497,000, variable manufacturing overhead of $2.40 per direct labor-hour, and 70,000 direct labor-hours. The company has provided the following data concerning Job Q251 which was recently completed: Number of units in the job 40 Total direct labor-hours 80 Direct materials $ 950 Direct labor cost $ 2,720 The total job cost for Job Q251 is closest to:

A company is using a predetermined overhead rate that was ba…

A company is using a predetermined overhead rate that was based on estimated total fixed manufacturing overhead of $121,000 and 10,000 direct labor-hours for the period. The company incurred actual total fixed manufacturing overhead of $113,000 and 10,900 total direct labor-hours during the period. The predetermined overhead rate is closest to:

A company is trying to determine if Product A should be drop…

A company is trying to determine if Product A should be dropped. Sales of the product total $500,000; variable expenses total $340,000. Fixed expenses charged to the product total $210,000. The company estimates that $60,000 of these fixed expenses are not avoidable even if the product is dropped. If Product A is dropped, the annual financial advantage (disadvantage) for the company of eliminating this product should be:

A company has provided the following contribution format inc…

A company has provided the following contribution format income statement. Assume that the following information is within the relevant range.        Sales (3,000 units) $ 180,000 Variable expenses   108,000 Contribution margin   72,000 Fixed expenses   62,400 Net operating income $ 9,600  The contribution margin ratio is closest to:

A company’s cost formula for its salaries and wages cost is…

A company’s cost formula for its salaries and wages cost is $2,850 per month plus $317 per job. For the month of February, the company planned for activity of 16 jobs, but the actual level of activity was 14 jobs. The actual salaries and wages cost for the month was $7,640. The spending variance for salaries and wages cost in February would be closest to: