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StormLrd StormLrd
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6 years ago
Fox Manufacturing is a small textile manufacturer using machine-hours for the single indirect cost allocation rate to allocate indirect manufacturing costs to the various jobs contracted during the year. The following estimates are provided for the coming year for the company and for the Maize High School Science Olympiad job.
      Company   Maize High School Job
   Direct materials   $150,000   $1,500
   Direct manufacturing labour   $65,000   $490
   Manufacturing overhead costs   $40,000
   Machine-hours   5,000 mh   45 mh

Required:
a.   For Fox Manufacturing, determine the annual manufacturing indirect cost allocation rate.
b.   Determine the amount of manufacturing overhead costs allocated to the Maize High School job.
c.   Determine the estimated total manufacturing costs for the Maize High School job.
Textbook 
Cost Accounting: A Managerial Emphasis, Canadian Edition

Cost Accounting: A Managerial Emphasis, Canadian Edition


Edition: 7th
Authors:
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MunihasenMunihasen
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