1-3 (4-6)

4. Brusveen Corporation applies manufacturing overhead to jobs on the basis of direct labor hours. The following information relates to Brusveen for last year.

Estimated Actual

Direct labor hours...................................15,000 14,8000

Manufacturing overhead cost.................$300,000 $287,120 What was Brusveen's underapplied or overapplied overhead for last year? A. $4000 underapplied B. $8880 underapplied C. $8800 overapplied D. 9000 underapplied

5. Linh Corporation applies manufacturing overhead to jobs on the basis of pounds of direct material used. Linh estimated 160,000 pounds of material usage and $200,000 of manufacturing overhead cost for the year. During the year Linh actually used 150,000 pounds of material and incurred $171,000 of manufacturing overhead cost. What was Linh's underapplied or overapplied overhead for the year? A. $12,500 underapplied B. $16,500 overapplied C. $17,600 underapplied D. $29,000 overapplied

6. Darrow Company uses a predetemined overhead rate based on direct labor hours to apply manufacturing overhead to jobs. LAst year the company worked 10,000 direct labor hours and incurred $80,000 of actual manufacturing overhead cost. If overhead was underapplied by $2000 the predetermined overhead rate for the company for the year must have been: A. $7.80 B. $8.00 C. $8.20 D. $8.40