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In December 2016, Learer Company's manager estimated next year's total direct labor cost assuming 35 persons working an average of 2,000 hours each at an

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In December 2016, Learer Company's manager estimated next year's total direct labor cost assuming 35 persons working an average of 2,000 hours each at an average wage rate of $40 per hour. The manager also estimated the following manufacturing overhead costs for 2017 Indirect labor Factory supervision Rent on factory building Pactory utilities Factory insurance expired Depreciatio-Pactory equipment Repairs explo-Factory equipment Factory supplies used Miscellaneous production costs Total estimated overhead costo $ 329, 200 354,000 150,000 98,000 78,000 756,000 70,000 78.800 46,000 $1,960,000 At the end of 2017. records show the company incurred $1,821,000 of actual overhead costs. It completed and sold five jobs with the following direct labor costs: Job 201. $614,000, Job 202, $573,000; Job 203, $308,000; Job 204, $726,000; and Job 205, $324,000 In addition, Job 206 is in process at the end of 2017 and had been charged $27,000 for direct labor. No jobs were in process at the end of 2016. The company's predetermined overhead rate is based on direct labor cost. Required 1-a. Determine the predetermined overhead rate for 2017 1-b. Determine the total overhead cost applied to each of the six jobs during 2017, 1-c. Determine the over- or underapplied overhead at year-end 2017 2. Assuming that any over- or underapplied overhead is not material, prepare the adjusting entry to allocate any over- or underapplied overhead to Cost of Goods Sold at the end of 2017 and had been charged $27,000 for direct labor. No jobs were in process at the end of 2016. The company's predetermined overhead rate is based on direct labor cost. Required 1-a. Determine the predetermined overhead rate for 2017. 1-b. Determine the total overhead cost applied to each of the six jobs during 2017 1-c. Determine the over- or underapplied overhead at year-end 2017. 2. Assuming that any over- or underapplied overhead is not material, prepare the adjusting entry to allocate any over- or underapplied overhead to Cost of Goods Sold at the end of 2017 Complete this question by entering your answers in the tabs below. Reg 1A Reg 18 Req 1C Reg 2 Determine the predetermined overhead rate for 2017, Choose Numerator Predetermined overhead rate 4 Choose Denominator Predetermine overhead rate Predetermine overhead rate 1 SA Reg 18 >

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