Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Finch Company and Franklin Company assign manufacturing overhead to Work in Process Inventory using direct labor cost. The following information is available for the companies

image text in transcribed
image text in transcribed
image text in transcribed
Finch Company and Franklin Company assign manufacturing overhead to Work in Process Inventory using direct labor cost. The following information is available for the companies for the year. Actual direct labor cost Estimated direct labor coat Actual manufacturing overhead cost Estimated manufacturing overhead cost Finch Company $149,000 154,000 55,500 75,460 Franklin Company $174,000 109,000 91,900 94,830 Required a. Compute the predetermined overhead rate for each company. b. Determine the amount of overhead cost that would be applied to Work in Process Inventory for each company. c. Compute the amount of overapplied or underapplied manufacturing overhead cost for each company. Complete this question by entering your answers in the tabs below. ces Required A Required B Required Compute the predetermined overhead rate for each company. (Round your answers to 2 decimal places.) Predetermined Overhead Finch Company direct labor dollar Franklin Company direct labor dollar Required A Required B > Required Hint a. Compute the predetermined overhead rate for each company. b. Determine the amount of overhead cost that would be applied to Work in Process Inventory for each comp C. Compute the amount of overapplied or underapplied manufacturing overhead cost for each company. Ask Complete this question by entering your answers in the tabs below. Ceferences Required A Required B Required Determine the amount of overhead cost that would be applied to Work in Process Inventory for each company. (Do intermediate calculations.) Overhead Cost Finch Company Franklin Company Complete this question by entering your answers in the tabs below. erences Required A Required B Required C Compute the amount of overapplied or underapplied manufacturing overhead cost for each company. (Do not round intermediate calculations.) Manufacturing Overhead Amount Over/Under Applied Finch Company Franklin Company

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Auditing Local Union Financial Records A Guide For Local Union Trustees

Authors: John Lund

1st Edition

0875461948, 978-0875461946

More Books

Students also viewed these Accounting questions

Question

3. Identify the methods used within each of the three approaches.

Answered: 1 week ago