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IV. Smith Co, has the following manufacturing costs: budgeted indirect-cost rate of $10 per direct labor-hour Direct materials $400,000 Direct labor (14,000 hours @ $11/hour)
IV. Smith Co, has the following manufacturing costs:
budgeted indirect-cost rate of $10 per direct labor-hour
Direct materials$400,000
Direct labor (14,000 hours @ $11/hour)$ 154,000
Indirect labor$ 40,000
Plant facility rent$ 150,000
Depreciation on plant machinery and equipment$ 32,000
Sales commissions$ 60,000
Administrative expenses$ 50,000
Required:
a.What was the actual amount of manufacturing overhead costs? (5 points)
b.What was the manufacturing overhead cost allocated ? (5 points)
c.was manufacturing overhead underallocated or overallocated? (5 points
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