2 MCQS

2 TRUE FALSE

12) The Manufacturing Overhead account has total debits of $320,000. Direct labor hours for the month were 12,000. At the end of the month, the manufacturing Overhead account has an underapplied balance of $8,000. What was the application rate, based on direct labor hours? A. $27.33 B. $26.33 C. $26.00 D. $27.00 . 13) In a job order cost system, a credit balance remaining in the Manufacturing Overhead account at the end of a period: A. Indicates that actual overhead was larger than applied overhead B. Should be closed to Income Summary C. Indicates that applied overhead was larger than actual overhead. D. Indicates that an error occurred in the cost system. . . . 14) If the Manufacturing Overhead account has total charges of $340,000 but the month-end journal entry to apply overhead to the Work in Process Inventory account amounts to $345,000, the Manufacturing Overhead account is overapplied. TRUE FALSE 15) Assuming no beginning work in process, if 10,000 units are transferred in from a previous department and 2,000 of the 10,000 units are still in process at the end of the period, the equivalent units of production are 8,000. > True > False