200 WordsAPA formatted references Due: May 7th 2:00 a.m.You are a manager in one department of the...

Question

200 WordsAPA formatted references Due: May 7th 2:00 a.m.You are a manager in one department of the XYZ Manufacturing Company. You 
have been invited to a meeting by the general manager to discuss how spending in 
your department and the other departments could impact the company's 
profitability. In particular, the general manager is going to be discussing the 
concept of manufacturing overhead, how it is such an important part of 
setting prices, and how to determine the firm's profitability.
In order to properly set selling prices, you need to know the cost of certain 
products that you make. Setting prices is done at the beginning of each year. 
While it is easy to know labor and material content, it is harder to know how 
much overhead should be assigned to each unit of output

In your own words:

describe what manufacturing overhead is
describe how it is different than direct labor and direct materials
give at least 3 examples of typical manufacturing overhead
What exactly is the predetermined overhead rate, and why is it 
important?
In your own words, please post a response to the Discussion Board and 
comment on other postings. You will be graded on the quality of your 
postings.
The following grading criteria will be used:

Grading Guidelines

40%

In your own words:

describe what manufacturing overhead is
describe how it is different than direct labor and direct materials
give at least 3 examples of typical manufacturing overhead

40%

What exactly is the predetermined overhead rate, and why is it 
important?

20%

Post a 
response to the Discussion Board and comment on other postings.

Robert · Accepted Answer

Manufacturing overheads 
Manufacturing overhead also known as indirect cost is part and parcel of the cost of 
goods sold, it’s very important to determine the accurate amount of manufacturing overheads so 
that cost per unit can be computed in a better way. In case if manufacturing overheads are not 
computed/projected accurately than it is not possible to determine accurate cost of goods sold 
which will lead to wrong pricing of products and loss in market share. It is really important of 
determine manufacturing overheads accurately so that products can be priced accurately.

Grading Guidelines
40%	In your own words: describe what manufacturing overhead is describe how it is different than direct labor and direct materials give at least 3 examples of typical manufacturing overhead
40%	What exactly is the predetermined overhead rate, and why is it important?
20%	Post a response to the Discussion Board and comment on other postings.

200 Words APA formatted references Due: May 7th 2:00 a.m. You are a manager in one department of the XYZ Manufacturing Company. You have been invited to a meeting by the general manager to discuss how...

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