Mangment Speech or Presentation Example | Topics and Well Written Essays - 500 words - 1

Mangment - Speech or Presentation Example Secondly, it is impossible to calculate the beginning work in progress since it obtained from a previous year’s end work in progress, which is not contained in the extract provided. Lastly, since the units for measuring the direct labor cost is not provided, it is impractical to calculate the cost using the information in the manufacturing account extract (Lal & Srivastava 404-423). The estimated overhead rate allocation rate on the basis of direct labor cost = (15,000/10,000) = $ 1.5 per direct labor cost. Therefore, overhead cost to be added to job Q at the year end = (1.5*8,000) = $ 12,000 (Lal & Srivastava 404-423). The overhead allocation rate = 120% of direct labor. From this, the overhead cost of job 413 = (120/100) *8, 000 = $ 9,600. Therefore, the total manufacturing cost assigned = overhead cost + direct materials cost + direct labor cost = (9,600 + 12,000 + 8,000) = $ 29,600. The unit product cost for job 413 = total manufacturing cost/ number of units = (29,600/200) = $ 148 (Lal & Srivastava