Question
Ferdi company uses a predetermined overhead rate of $23.40 per directed labor-hour. this predetermined rate was based on 11,000 estimated direct labor-hours and $ 257,400
Ferdi company uses a predetermined overhead rate of $23.40 per directed labor-hour. this predetermined rate was based on 11,000 estimated direct labor-hours and $ 257,400 of estimated total manufacturing overhead
the company incurred actual total manufacturing overhead costs of $249,000 and 10,800 total direct labor hours during the period.
Required
determine the amount of manufacturing overhead that would have been applied to units of product during the period.
2. Snort corporation applies overhead cost to jobs on the basis of direct labor cost. Job V, which was started and completed during the current period, shows changes of $5,000 for direct materials, $8,000 for direct labor, and $6,000 for overhead on its job cost sheet. Job W which is still in process at year-end , show changes of $2,500 for direct materials and $4,000 for direct labor
Required
should any overhead cost be added to job W at year-end? if so, how much ? Explain.
please write down the detailed calculation. ( showing those numbers come from)
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