The following data pertain to the Oneida Restaurant Supply Company for the year just ended.

Required:
1. Compute the firm’s predetermined overhead rate for the year using each of the following common cost drivers:

(a) machine hours,

(b) direct-labor hours, and

(c) direct-labor dollars.
2. Calculate the overapplied or underapplied overhead for the year using each of the cost drivers listed above.

Transcribed Image Text:

Budgeted sales revenue Actual manufacturing overhead Budgeted machine hours (based on practical capacity). Budgeted direct-labor hours (based on practical capacity).. Budgeted direct-labor rate Budgeted manufacturing overhead Actual machine hours Actual direct-labor hours. Actual direct-labor rate $205,000 340,000 10,000 20,000 $ 14 $364,000 11,000 18,000 $ 15