For Aggies Company, the predetermined overhead rate is based on direct labor cost. At the beginning of the year, the company estimated that manufacturing overhead cost for the year would be $450,000 and the direct labor cost would be $300,000. For the year, the actual manufacturing overhead cost was $470,000 and the actual direct labor cost was $320,000.

(A) The journal entry to apply overhead costs to jobs will include a ______ to the Manufacturing Overhead account for ______.

A. Credit; $450,000

B. Debit; $470,000

C. Credit; $470,000

D. Debit; $480,000

E. Credit; $480,000

(B) For the year, Manufacturing Overhead was _____ by _____.

A. Overapplied; $10,000

B. Underapplied; $10,000

C. Overapplied; $20,000

D. Underapplied; $20,000

E. Overapplied; $30,000

For Aggies Company, the predetermined overhead rate is based on direct labor cost. At the beginning of the year, the company estimated that manufacturing overhead cost for the year would be $450,000 and the direct labor cost would be $300,000. For the year, the actual manufacturing overhead cost was $470,000 and the actual direct labor cost was $320,000. (Hint: You might want to review homework problem 3-16 or the January 30 handout worked in class, that is available on canvas.) to the The journal entry to apply overhead costs to jobs will include a Manufacturing Overhead account for a. credit; $450,000. b. debit; $470,000. c. credit; $470,000. d. debit; $480,000. e. credit; $480,000. by For the year, Manufacturing Overhead was a. overapplied; $10,000. b. underapplied: $10,000. c. overapplied; $20,000. d. underapplied; $20,000. e. overapplied: $30,000