1. Sawyer Manufacturing Company uses a predetermined overhead rate based on direct labour hours to apply manufacturing overhead to jobs. Last year, the company worked 60,000 actual direct labour hours and used 42,100 machine hours. The company had estimated that it would work 55,000 direct labour hours using 51,000 machine hours during the year and incur $330,000 of manufacturing overhead cost. What was the company's manufacturing overhead applied for the year?

Multiple Choice

• $342,000
• $330,000
• $360,000
• $388,235

2. Matthias Corporation has provided data concerning the Corporation's Manufacturing Overhead account for the month of May. Prior to the closing of the overapplied or underapplied balance to Cost of Goods Sold, the total of the debits to the Manufacturing Overhead account was $72,000 and the total of the credits to the account was $107,000. Which of the following statements is true?

Multiple Choice

• Manufacturing overhead applied to Work in Process for the month was $107,000.
• Actual manufacturing overhead incurred during the month was $107,000.
• Manufacturing overhead transferred from Finished Goods to Cost of Goods Sold during the month was $72,000.
• Manufacturing overhead for the month was underapplied by $35,000.