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Marblex Manufactures Marble Statues Job a Incurred 800 Machine-Hours in Department X and 300

Question 148

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Marblex manufactures marble statues.In March,the two production departments had budgeted allocation bases of 4,000 machine-hours in Department X and 8,000 direct manufacturing labor-hours in Department Y.The budgeted manufacturing overheads for the month were $60,000 and $64,000,respectively.For Job A,the actual costs incurred in the two departments were as follows:
 Department X Department Y Direct materials purchased on account $110,000$177,500 Direct materials used 40,00013,500 Direct manufacturing labor 55,00053,500 Indirect manufacturing labor 11,0009,000 Indirect materials used 5,0004,750 Lease on equipment 16,2503,750 Utilities 1,0001,250\begin{array}{lrr}&\text { Department } X&\text { Department } Y\\\text { Direct materials purchased on account } & \$ 110,000 & \$ 177,500 \\\text { Direct materials used } & 40,000 & 13,500 \\\text { Direct manufacturing labor } & 55,000 & 53,500 \\\text { Indirect manufacturing labor } & 11,000 & 9,000 \\\text { Indirect materials used } & 5,000 & 4,750 \\\text { Lease on equipment } & 16,250 & 3,750 \\\text { Utilities } & 1,000 & 1,250\end{array} Job A incurred 800 machine-hours in Department X and 300 manufacturing labor-hours in Department Y.The company uses a budgeted overhead rate for applying overhead to production.
Required:
a.Determine the budgeted manufacturing overhead rate for each department.
b.Prepare the necessary journal entries to summarize the March transactions for Department X.
c.What is the total cost of Job A?

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