Answer:
Instructions are listed below.
Explanation:
Giving the following information:
Yuvwell Corporation for the upcoming fiscal year contains the following details concerning budgeted direct labor-hours: 1st Quarter 2nd Quarter 3rd Quarter 4th Quarter Budgeted direct labor-hours 12,000 10,200 10,500 11,300.
The company uses direct labor-hours as its overhead allocation base.
The variable manufacturing overhead rate is $7.00 per direct labor-hour.
Total fixed manufacturing overhead is $88,000 per quarter.
Depreciation is $22,000 per quarter.
A) Manufacturing overhead:
Total variable cost= 7* (12000 + 10200 + 10500 + 11300)= 308,000
Total fixed cost= (88,000 - 22,000)*4= 264,000
Total= $572,000
B) Estimated manufacturing overhead rate= total estimated overhead costs for the period/ total amount of allocation base
Estimated manufacturing overhead rate= (264,000/44,000) + 7= 13 per direct labor hour