- Shire Company S Predetermined Overhead Rate Is Based On Direct Labor Cost Management Estimates The Company Will Incur 1 (77.98 KiB) Viewed 74 times
Shire Company's predetermined overhead rate is based on direct labor cost. Management estimates the company will incur $572,000 of overhead costs and $520,000 of direct labor cost for the period. During March, Shire began and completed Job 56. 1. What is the predetermined overhead rate for this period? 2. Use the information on the following job cost sheet to determine the total cost of Job 56. Complete this question by entering your answers in the tabs below. Required 1 Required 2 Use the information on the following job cost sheet to determine the total cost of Job 56. (Round your answers to the nearest dollar amount.) JOB COST SHEET Job Number: 56 Customer's Name: Keiser Company Job Description: 3 customized systems Direct Materials Date Requisition Cost Number Direct Labor Overhead Total Cost Time-Ticket Number Cost Applied March 08 M-129 $ 6,000 T-306 $ 700 $ 770 March 11 M-142 7,300 T-432 1,260 1,386 March 18 M-167 3,600 T-456 1,280 1,408 < Required 1 Required 2