HW-ACC220-HCT Assume over/under applies to ending inventory hours Basis for POHR Capacity/hes, 10,500 Budget/Hrs 9,600 basis for POHR Budgeted overhead spendine 5s 82,560 Actual/Hes 2.6 9,300 Raw Ending is before over/under applied Materials WIP FG Total Overhead Beginnine Inventory $s 125,000 44,000 189,000 358,000 Total Ending Inventory $s 131,000 39,000 175,000 345,000 Overhead in inventory 11,000 69,840 80,840 Actual Period Spending Purchased material to Raw Matis. 175,000 Note to get addition to WIP for materials Direct labor spending 18,000 + Bezinnine + adds to Materials - ending materials - materials into WIP | WIP addition Overhead spending 89,000 IA] What is POHR & what is over/under applied using Actual spending, actual production & budget hrs, based POHR POHR Applied overhead Overapplied or either over OR under not both Underapplied [B] Actual Cost of goods manufactured using budget overhead rate as POHR before applying over/under applied overhead From WIP to FG Show calculations COG Manufactureol LOOR U the formulerer PPT andorte [C]Based on Ending inventory Ss, inventory is to be adjusted, show adjustment to inventory for over/under applied overheat using budgeted POH WIP FG adjustment only overhead Show calculations Ending total 39,000 175,000 Ending Overhead 11,000 69,840 equals exactly one month of inventory combined Adjustment Adjusted Ending determine what portion of the month applied is in Inventory at then how much is in WIP how muck in FG