Dehner Corporation 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 the following data: Recently. Job P951 was completed with the following characteristics: The unit product cost for Job P951 is closest to: (Round your intermediate calculations to 2 decimal places.) Multiple Choice
| Predetermined fixed mfg overhead rate = Estimated fixed overhead/Estimated direct labor hours = 399000/105000 = $3.8 per DLH | |
| Predetermined variable mfg overhead rate (given) = $2.00 per DLH | |
| Predetermined Total mfg overhead rate =3.8+2 = $5.8 per DLH | |
| COST OF JOB P951: | |
| Direct material cost | $ 730 |
| Direct labor cost | $ 10,500 |
| Manufacturing overhead assigned = 100*$5.8 = | $ 580 |
| Total cost of the Job | $ 11,810 |
| Number of units in the Job | 50 |
| Unit product cost for Job P951 = $11810/50 = | $ 236.2 |
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