The Ramon Company is a manufacturer that is interested in developin...

The Ramon Company is a manufacturer that is interested in developing a cost formula to estimate the fixed and variable components of its monthly manufacturing overhead costs. The company wishes to use machine-hours as its measure of activity and has gathered the data below for this year and last year: Last Year This Year Machine- Overhead Machine- Overhead Month Hours Costs Hours Costs January 21,000 $84,000 21,000 $86,000 February 25,000 $99,000 24,000 $93,000 March 22,000 $89,500 23,000 $93,000 April 23,000 $90,000 22,000 $87,000 May 20,500 $81,500 20,000 $80,000 June 19,000 $75,500 18,000 $76,500 July 14,000 $70,500 12,000 $67,500 August 10,000 $64,500 13,000 $71,000 September 12,000 $69,000 15,000 $73,500 October 17,000 $75,000 17,000 $72,500 November 16,000 $71,500 15,000 $71,000 December 19,000 $78,000 18,000 $75,000 The company leases all of its manufacturing equipment. The lease arrangement calls for a flat monthly fee up to 19,500 machine-hours. If the machine-hours used exceeds 19,500, then the fee becomes strictly variable with respect to the total number of machine-hours consumed during the month. Lease expense is a major element of overhead cost. Required: 1. Using the high-low method, estimate a manufacturing overhead cost formula based on the data given above for last year and this year. (Do not round your intermediate calculations. Round the Variable cost per DLH to 2 decimal places.) Machine-Hours Overhead-Costs High level of activity Low level of activity Change Variable cost element per DLH Fixed cost element4. Assume that the company consumes 22,500 machine-hours during a month. Using the high- low method, estimate the total overhead cost that would be incurred at this level of activity. Be sure to consider only the data points contained in the relevant range of activity when performing your computations. (Do not round intermediate calculations.) Total overhead cost[The following information applies to the questions displayed below.) Delph Company uses a job-order costing system and has two manufacturing departments-Molding and Fabrication. The company provided the following estimates at the beginning of the year: Molding Fabrication Total Machine-hours 20,000 30,000 50,000 Fixed manufacturing overhead costs $700,000 $210,000 $ 910,000 Variable manufacturing overhead per machine-hour $ 3.00 $ 3.00 During the year, the company had no beginning or ending inventories and it started, completed, and sold only two jobs-Job D-70 and Job C-200. It provided the following information related to those two jobs: Job D-70: Molding Fabrication Total Direct materials cost $ 375,000 $ 325,000 $ 700,000 Direct labor cost $ 200,000 $ 160,000 $ 360,000 Machine-hours 14,000 6,000 20,000 Job C-200: Molding Fabrication Total Direct materials cost $ 300,000 $ 250,000 $ 550,000 Direct labor cost $ 175,000 $ 225,000 $ 400,000 Machine-hours 6,000 24,000 30,000 Delph had no overapplied or underapplied manufacturing overhead during the year. 1. . Assume Delph uses a plantwide overhead rate based on machine-hours. Required: 1-a. Compute the predetermined plantwide overhead rate. (Round your answer to 2 decimal places.) Predetermined overhead rate per MH 1-b. Compute the total manufacturing costs assigned to Job D-70 and Job C-200. (Round your intermediate calculations to 2 decimal places.) Total manufacturing cost Job D-70 Job C-2001-c. If Delph establishes bid prices that are 150% of total manufacturing costs, what bid price would it have established for Job D-70 and Job C-200? (Round your intermediate calculations to 2 decimal places.) Bid price Job D-70 Job C-200 1-d. What is Delph's cost of goods sold for the year? (Round your intermediate calculations to 2 decimal places.) Cost of goods sold