Question
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
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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
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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