Chapter 3: Applying Excel Data Allocation base Machine-hours $300,000 75,000 machine-hours $290,000 68,000 mach ine-hours Estimated manufacturing overhead cost Estimated total amount of the allocation base Actual manufacturing overhead cost Actual total amount of the allo cation base 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 ?machine-hours ?per machine-hour Predetermined overhead rate 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 ? per machine-hour ?machine-hours Actual total amount of the allocation base Manufacturing overhead applied Underapplied (overapplied) manufacturing overhead ? 4. Change the estimated total amount of the allocation base back to 81,000 machine-hours, so that the data area of you worksheet looks exactly the same as in Requirement 2. Now change the actual manufacturing overhead cost from $660,500 to $651,800. The data area of your worksheet should now look like this: B C Chapter 3: Applying Excel 2 3 Data Machine- hours Allocation base 5 Estimated manufacturing overhead Cost 6 Estimated total amount of the allocation base 7 Actual manufacturing overhead cost 8 Actual total amount of the allocation base $ 648,000 81,000machine- hours $ 651,800 73,000 machine- hours (a) By how much is the manufacturing overhead underapplied or overapplied? X Answer is complete but not entirely Underapplied manufacturing overhead $ 60,500 2. Change all of the numbers in the data area of your worksheet so that it looks like this: D 1 Chapter 3: Applying Excel 2 3 Data Machine- hours 4 Allocation base 5 Estimated manufacturing overhead cost 6 Estimated total amount of the allocation base 7 Actual manufacturing overhead cost 8 Actual total amount of the allocation base $ 631,800 78,000 machine- hours $ 629,000 72,000 machine- hours 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.) per machine- hour Predetermined overhead rate (b) 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 81,000 machine-hours, but keep everything the same as in Requirement 2. The data area of your worksheet should now look like this A 1 Chapter 3: Applying Excel 2 3 Data Machine- hours 4 Allocation base 5 Estimated manufacturing overhead Cost $631,800 81,000 machine hours 6 Estimated total amount of the allocation base 7 Actual manufacturing overhead $ 629,000 cost 8 Actual total amount of the 72.000 machine- (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 change in the estimated total amount of the allocation base affected the predetermined overhead rate. The change in the estimated total amount of the allocation base affected the amount of manufacturing overhead applied. Actual manufacturing overhead cost differs from period to period. The estimated manufacturing overhead cost did 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 78,000 machine-hours, so that the data area of you worksheet looks exactly the same as in Requirement 2. Now change the actual manufacturing overhead cost from $629,000 to $625,400. The data area of your worksheet should now look like this: A C 1 ]Chapter 3: Applying Excel 2 3 Data Machine- hours 4 Allocation base 5 Estimated manufacturing overhead cost 6 Estimated total amount of the allocation base 7Actual manufacturing overhead Cost $631,800 78,000 machine- hours $ 625,400 |Actual total amount of the 8 72.000 machine- .. (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. V The change in the actual manufacturing overhead cost directly resulted in a comparable change in the amount of underapplied (overapplied) manufacturing overhead. The change in the estimated total amount of the allocation base affected the amount of manufacturing overhead applied Chapter 3: Applying Excel Data Allocation base Machine-hours $300,000 75,000 machine-hours $290,000 68,000 mach in e-hours Estimated manufacturing overhead cost Estimated total amount of the allocation base Actual manufacturing overhead cost Actual total amount of the allocation base Enter a formula into each of the cells marked with a ? below Computation of the predetermined overhead rate Estimated manufacturing overhead cost ?machine-hours Estimated total amount of the allocation base Predetermined overhead rate ? 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 ? per machin e-hour Actual total amount of the allocation base ?machine-hours Manufacturing overhead applied Underapplied (overapplied) manufacturing overhead