Hahn Company uses a job-order costing system. Its plantwide predetermined overhead rate uses direct labor-hours...
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Hahn Company uses a job-order costing system. Its plantwide predetermined overhead rate uses direct labor-hours as the allocation base. The company pays its direct laborers $13.00 per hour. During the year, the company started and completed only two jobsJob Alpha, which used 64,200 direct labor-hours, and Job Omega. The job cost sheets for the these two jobs are shown below: Job Alpha Direct materials ? Direct labor ? Manufacturing overhead applied ? Total job cost $ 1,620,000 Job Omega Direct materials $ 225,000 Direct labor 357,500 Manufacturing overhead applied 165,000 Total job cost $ 747,500 Required: 1. Calculate the plantwide predetermined overhead rate. 2. Complete the job cost sheet for Job Alpha.
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