Actual manufacturing overhead cost Actual total amount of the allocation base B $290,000 68,000 machine-hours Enter a formula into each of the cells marked with a ? below Computation of the predetermined overhead rate Estimated manufacturing overhead cost Estimated total amount of the allocation base Predetermined overhead rate $300,000 75,000 machine-hours $4.00 per machine-hour Computation of underapplied or overapplied manufacturing overhead Actual manufacturing overhead cost Manufacturing overhead cost applied to Work in Process during the year: Predetermined overhead rate $4.00 per machine-hour Actual total amount of the allocation base 68,000 machine-hours Manufacturing overhead applied Underapplied (overapplied) manufacturing overhead $ 18,000 Show transcribed image text 2. Change all of the numbers in the data area of your worksheet so that it looks like this: B A 1 Chapter 3: Applying Excel 4 6 Data Allocation base 5 Estimated manufacturing overhead cost Estimated total amount of the allocation base Actual manufacturing overhead cost Actual total amount of the allocation base Machine-hours $ 148,000 37,000 machine-hours S 130,500 42,000 machine-hours 7 8 If your formulas are correct, you should get the correct answers to the following questions. (a) What is the Predetermined overhead rate? (Round your answer to 2 decimal places.) Predetermined overhead rate $ 4.00 per machine-hour (b) By how much is the manufacturing overhead underapplied or overapplied? Overapplied manufacturing overhead This is a numeric cell, so please enter numbers only. 3. Either print or make a copy of your worksheet in your workbook before proceeding. You will need to refer back to this worksheet. Change the estimated total amount of the allocation base to 40.000 machine-hours, but keep everything the same as in Requirement 2. The data area of your worksheet should now look like this: B 1 Chapter 3: Applying Excel 2 3 Data 4 Allocation base 5 Estimated manufacturing overhead cost 6 Estimated total wount of the allocation base Actual manufacturing overheadcast 7 Actual total amount of the allocation base Machine hours S 14 000 40,000 machine hours s 130.500 42,000 machine hours () By how much is the manufacturing overhead underapplied or overapplied? manufacturing overhead 3. Either print or make a copy of your worksheet in your workbook before proceeding. You will need to refer back to this worksheet Change the estimated total amount of the allocation base to 40.000 machine-hours, but keep everything the same as in Requirement 2. The data area of your worksheet should now look like this: 1 Chapter 3: Applying Excel 2 Data Allocation base 5 Estimated manufacturing overhead cost 6 Estimated total amount of the allocation base 7 Actual manufacturing overheads Actual total amount of the allocation base Machine hours $ 148.000 40,000 machine hours 130.500 42,000 machine-hours (e) By how much is the manufacturing overhead underapplied or overapplied? manufacturing overhead (b) Why is the amount of underapplied overapplied) manufacturing overhead different from Requirement 2 above? [You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answers and double click the box with the question mark to empty the box for a wrong answers. Any boxes left with a question mark will be automatically graded as incorrect.) The change in the estimated total amount of the allocation bese affected the predetermined overneed rare. The change in the estimated total amount of the allocation base affected the amount of manufacturing overead appled Actual manufacturing overeed cost differs from period to period. The estimated manufacturing overhead cost do not change in proportion to the change in the estimated total amount of the allocation base 4. Change the estimated total amount of the allocation base back to 37,000 machine-hours, so that the date ares of you worksheer looks exactly the same as in Requirement 2 Now change the actual manufacturing overhead cost from $130.500 to $124.400. The data area of your worksheet should now look like this: A 1 Chapter 3: Applying Excal 2 3 1 5 Data Allocation base Climated manufacturing over and cont Estimated total amount of the allocation base Actual manufacturing overhead cost Actual total amount of the allocation base 0 Machine hours s 148.000 37.000 machine hours 5 124.400 42.000 machine hours 7 (a) By how much is the manufacturing overhead underapplied or overapplied? manufacturing overhead (b) Why is the amount of underapplied (overapplied) manufacturing overhead different from Requirement 2 above? (You may select more than one answer. Single click the box with the question mark to produce a check mark for a correct answers and double click the box with the question mark to empty the box for a wrong answers. Any boxes left with a question mark will be automatically graded as incorrect.) The predetermined overhead rate changed The change in the actual manufacturing oveneas cost alrealy resulted in a comparable change in the amount of underapplied overappled manufacturing overhead. The change in the estimated total amount of the allocation base alected the amount of manufacturing overens apotec