Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

On January 1, 2021, X Company estimated the following costs for the year: Direct materials $59,400 Customer relations 96,000 Direct labor 96,000 Factory supplies 21,900

On January 1, 2021, X Company estimated the following costs for the year:

Direct materials $59,400
Customer relations 96,000
Direct labor 96,000
Factory supplies 21,900
Factory maintenance 30,200
Advertising 43,600
Factory rent 45,600
Sales salaries 46,000
Legal department costs 96,000
Factory insurance 66,500

The company also estimated that total direct labor hours for the year would be 6,000, and total machine hours would be 67,000.

The company finished Product A in June. It required 660 direct labor hours at a cost of $14,400. It also required 6,030 machine hours.

If X Company uses a plantwide system to allocate overhead costs, with direct labor hours as the cost driver, how much overhead was allocated to Product A [round overhead rate(s) to two decimal places]?

A: $9,640 B: $11,279 C: $13,196 D: $15,439 E: $18,064 F: $21,135

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

The Consolations Of Economics How We Will All Benefit From The New World Order

Authors: Gerard Lyons

1st Edition

0571307795, 9780571307791

More Books

Students also viewed these Accounting questions

Question

=+How well do people judge the probability of uncertain events?

Answered: 1 week ago