Nama
Kelas
Absen
COST ACCOUNTING
:
:
:
1. Exercise 13-12
S1 = $20000 + 0,20S2
S2 = $17600 + 0,10S1
Let:
Substituting:
Solving
S1
S1
0,98S1
S1
=
=
=
=
$20000 + 0,20 ($17600 + 0,10S1)
$20000 + $3520 + 0,02S1
$23520
$24,000
Substituting:
Solving:
S2
S2
S2
S2
=
=
=
=
$17600 + 0,10S1
$17600 + 0,10 ($24000)
$17600 + $2400
$20,000
Distribution of Service Department Overhead Using The Simultaneous Method
Total
Factory overhead before
distribution of
service department
Distribution of:
Department S1
Department S2
Total Factory Overhead
Producing
Department
P1
P2
$216,600
$94,000
$85,000
$216,600
9,600
10,000
$113,600
12,000
6,000
$103,000
So, total FOH of Producing Department P1 after distribution of service department costs
is
$113,600
Laras Anindita Andarini
7A_Khusus
14
e Simultaneous Method
Service
Department
S1
S2
$20,000
$17,600
(24,000)
4,000
2,400
(20,000)
epartment costs
1. Problem 13-1
a) Using Direct Method
Based on: Hours Of Maintanance Service Used
Maintanance Cost to
=
180
X
Grinding Department
180+900
=
$12,667
Based on: Number of employees
General Factory Cost
=
6
X
Grinding Department
6+3
=
$133,333
$76,000
Maintanance Cost to
Smoothing Department
=
=
$200,000
General Factory Cost
Smoothing Department
900
X
180+900
$63,333
$76,000
3
X
6+3
$66,667
$200,000
=
=
Distribution of Service Department Overhead Using The Direct Method
Cost Account
Total Departemental Factory Overhead
before distribution of Service Departments
Distribution of Service Department Costs:
Maintenance
General Factory
Total Service Departments Cost Distributed
Total Departemental Factory Overhead
after distribution of Service Departments
Bases:
Direct Labor hours
Machine hours
Rates:
per Direct Labor hours
per Machine hours
Total
Producing
Department
Grinding
Smoothing
$681,000
$175,000
$230,000
12,667
133,333
$146,000
$681,000
63,333
66,667
$130,000
$321,000
$360,000
30,000
4,000
$
$
80.25
12
Service
Department
Maintenance
$76,000
(76,000)
b) Using Simultaneous Method
M = $76000 + [1/(6+3+1)] G
1)
Let:
M = $76000 + 0,1 G
G
= $200000 + [720/(180+900+720)] M
G
= $200000 + 0,4 M
2)
M = $76000 + 0,1 ($200000 + 0,4 M)
Substituting:
M = $76000 + $20000 + 0,04 M
Solving
0,96 M = $96000
M = $100,000
3)
G
G
Service
Department
ntenance
General Factory
$200,000
(200,000)
Distribution of Maintenance Cost:
Grinding Department
=
180
X $ 100,000 =
180+900+720
Smoothing Department
=
900
X $ 100,000
180+900+720
General Factory Department
=
720
X $ 100,000
180+900+720
= $200000 + 0,4 ($100000)
= $240,000
Distribution of Service Department Overhead Using The Simultaneou
Cost Account
Total Departemental Factory Overhead
before distribution of Service Departments
Distribution of Service Department Costs:
Maintenance
General Factory
Total Service Departments Cost Distributed
Total Departemental Factory Overhead
after distribution of Service Departments
Bases:
Direct Labor hours
Machine hours
Rates:
per Direct Labor hours
per Machine hours
Total
Producing
Department
Grinding
Smoothing
$681,000
$175,000
10,000
144,000
$154,000
$681,000
$329,000
4,000
82.25
Distribution of General Factory Cost:
c) Using Step Method
1) Grinding Department
Distribution of Maintenance Cost:
$ 10,000
=
6
X $ 240,000 = $ 144,000 1) Grinding Department
6+3+1
=
180
X $
180+900+720
2) Smoothing Department
$ 50,000
=
3
X $ 240,000 = $ 72,000 2) Smoothing Department
6+3+1
=
900
X $
180+900+720
3) Maintenance Department
$ 40,000
=
1
X $ 240,000 = $ 24,000 3) General Factory Department
6+3+1
=
720
X $
180+900+720
Using The Simultaneous Method
Producing
Department
Smoothing
$230,000
50,000
72,000
$122,000
$352,000
30,000
$ 11.73
Service
Department
Maintenance
General Factory
$76,000
$200,000
(100,000)
24,000
40,000
(240,000)
76,000
76,000
$ 38,000
76,000
$ 30,400
7,600
Distribution of Service Department
Cost Account
Total Departemental Factory Overhead
before distribution of Service Departments
Distribution of Service Department Costs:
Maintenance
General Factory
Total Service Departments Cost Distributed
Total Departemental Factory Overhead
after distribution of Service Departments
Bases:
Direct Labor hours
Machine hours
Rates:
per Direct Labor hours
per Machine hours
Distribution of Maintenance Cost:
1) Grinding Department
=
6
X $ 230,400 =
6+3
2) Smoothing Department
=
3
X $ 76,000
6+3
$ 153,600
76,800
ervice Department Overhead Using The Step Method
Total
$681,000
Producing
Department
Grinding
Smoothing
$175,000
$230,000
7,600
153,600
$161,200
$681,000
38,000
76,800
$114,800
$336,200
$344,800
30,000
4,000
$
$ 84.05
11.49
Service
Department
Maintenance
General Factory
$76,000
$200,000
(76,000)
30,400
($230,400)
3.
Problem 13-2
1)
Predetermined FOH rate
Actual activity base amount
Applied FOH
Cutting
Department
$ 2,40 / MH
10,800
25,920
Assembly
Department
$ 5,00 / DLH
12,400
62,000
2)
Actual Overhead for
Revised FOH
=
First Six Months
Actual Activity Base
First Six Months
a. Cutting Department
=
$ 22600+ $ 23400
=
10800 + 9200
b.
c.
3)
Projeted Overhead for
Second Six Months
Projeted Activity Base
Second Six Months
+
+
$ 46000
20,000
2.3
Assembly Department
=
$ 56800 + $ 57500
12400 + 13000
$ 114300
25,400
4.5
Finishhing Department
=
$ 98500 + $ 96500
16500 + 16000
$ 195000
32,500
6.0
($ 2,3 - $ 2,4) X 10800
($ 4,5 - $ 5,0) X 12400
($ 6,0 - $ 1,6) X 16500
=
=
=
Cutting Department
Assembly Department
Finishing Department
Increase in apllied FOH
FOH Applied-Cutting Department
WIP-Cutting Department
FOH Applied-Assembly Department
WIP-Assembly Department
WIP-Finishing Department
FOH Applied-Finishing Department
-1080
-6200
72600
65,320
1,080
1,080
6,200
6,200
72,600
72,600
Finishing
Department
$ 1,60 / DLH
16,500
26,400
ojeted Overhead for
Second Six Months
ojeted Activity Base
Second Six Months
per machine hour
per DL hour
per DL hour
