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6. Harris Fabrics computes its predetermined overhead rate i annually on the basis of direct labor hours. At the overhead would be $599,000 and the

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6. Harris Fabrics computes its predetermined overhead rate i annually on the basis of direct labor hours. At the overhead would be $599,000 and the total beginning of the year it estimated that its total manufacturing direct labor would be 42,000 hours. Its actual total manufacturing overhead for the year was $760,000 and its actual total direct labor was 43,000 hours. Calculate the predetermined overhead rate. 7. Osbom Ma nufacturing uses a predetermined overhead rate of $21.80 per direct labor-hour. This predetermined rate was based on 8,090 estimated direct labor-hours and $176,362 of estimated total The company incurred actual total manufacturing overhead costs of $176,100 and 8,240 total direct labor-hours during the period. a. How much overhead is applied? b. Determine the amount of under-applied or over-applied manufacturing overhead for the period. 8, A company applies overhead using a predetermined overhead rate of 140% of direct materials cost. Job 215 was started and completed during the year. The job required $4,500 in direct labor cost. The job's total cost is $10,000. How much is the direct material cost for this job? 9. Traditional and activity-based costing methods are different each other in determining A. Direct material costs B. Direct labor costs C. Manufacturing overhead costs D. (B) and (C) above E. All of the above 10. Activity-based costing involves a two-stage allocation in which overhead costs are first assigned to and then to_ on the basis of different drivers. A. Departments, Products B. Activity cost pools, Products C. Resources, Activity cost pools D. Products, Departments E. Departments, Activity cost pools Typically, machine setup is a(n): A. unit-level activity B. batch-level activity. C. product-level activity 11. D. customer-level activity E. facility-level activity

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