5. What is the purpose of using a predetermined overhead rate?

7. What is a normal costing system, and why do companies tend to use a normal costing system to apply overhead to jobs rather than using

actual overhead costs?

8. Describe the two important factors in selecting an overhead allocation base.

9. What cost information is recorded on the debit side of the manufacturing overhead account, and what information is recorded on the credit

side?

10. When is manufacturing overhead under applied? When is it over applied?