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Company prepared the following estimates at the beginning of the year. Department 1 Department 2 Total Overhead cost $405,000 $110,000 $515,000 Direct labor hours 28,750

Company prepared the following estimates at the beginning of the year.

Department 1

Department 2

Total

Overhead cost

$405,000

$110,000

$515,000

Direct labor hours

28,750

100,000

128,750

Machine hours

90,000

--------

90,000

Company reported the following actual results for the month of July.

Department 1

Department 2

Total

Overhead cost

$34,000

$9,370

$43,370

Direct labor hours

2,350

8,600

10,950

Machine hours

7,400

--------

7,400

Assume that Company uses a plant-wide predetermined overhead rate and applies overhead based on direct labor hours.

Determine the applied overhead for the month of July.

Note: Give your answer using dollar signs and commas but no decimal points (cents).

Example: $12,345

QUESTION 5

  1. Company prepared the following estimates at the beginning of the year.

    Department 1

    Department 2

    Total

    Overhead cost

    $405,000

    $110,000

    $515,000

    Direct labor hours

    28,750

    100,000

    128,750

    Machine hours

    90,000

    --------

    90,000

    Company reported the following actual results for the month of July.

    Department 1

    Department 2

    Total

    Overhead cost

    $34,000

    $9,370

    $43,370

    Direct labor hours

    2,350

    8,600

    10,950

    Machine hours

    7,400

    --------

    7,400

    Assume that Quiz Company uses departmental overhead rates and applies overhead in Department 1 based on machine hours and applies overhead in Department 2 based on direct labor hours.

    Determine the applied overhead for the month of July.

    Note: Give your answer using dollar signs and commas but no decimal points (cents).

    Example: $12,345

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