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OH Application Lansing Mfg. prepared the following annual abbreviated flexible budget for different levels of machine hours: 80,000 88,000 96,000 104,000 Variable manufacturing overhead $160,000
OH Application Lansing Mfg. prepared the following annual abbreviated flexible budget for different levels of machine hours: 80,000 88,000 96,000 104,000 Variable manufacturing overhead $160,000 $176,000 $192,000 $208,000 Fixed manufacturing overhead 650,000 650,000 650,000 650,000 Each product requires four hours of machine time and the company expects to produce 20,000 units for the year. Assume that Lansing Mfg. has decided to use units of production to apply overhead to production. In April of the current year, the company produced 1,800 units and incurred $15,000 and $53,000 of variable and fixed overhead, respectively. a. What amount of variable manufacturing overhead should be applied to production in April? Applied VOH $ 0 b. What amount of fixed manufacturing overhead should be applied to production in April? Applied FOH $ 0 c. Calculate the under- or overapplied variable and fixed overhead for April. Note: Do not use negative signs with your answers. Variable OH $ 0 Fixed OH $ 0
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