Managerial accounting Chapter Two

Problem 1 Mary Adams is employed by Apple company, last week she worked 34 hours, assembling one of the company’s products and was idle 6 hours due to the material shortage, Apple’s employees are engaged to their workstations for a normal of 40 hours weekly, Mrs. Adams is paid $15/hour, allocate her earnings between direct labor and M.o.h.

Problem 2 John Olsen operates a stamping machine on the assembly line of Sony company, last week he worked for 45 hours, his basic wage rate is $14/hour, with time and a half for overtime (time worked in excess of 40 hours weekly) allocate his wage for the week between Direct labor and M.o.h