Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Please help me with how to solve these questions. Thank you! 11:55 PM Thu Feb 11 73% Done Practice+Set+2+28 Chapter+329 Name: Samantha hinder Accounting 285

image text in transcribed Please help me with how to solve these questions. Thank you!

11:55 PM Thu Feb 11 73% Done Practice+Set+2+28 Chapter+329 Name: Samantha hinder Accounting 285 Practice Set 2 (Chapter 3) 1. Hulk company uses direct labor hours as the allocation base for its overhead costs. At the beginning of the year, it was estimated that the company would use 40,000 direct labor hours. It was also estimated that the corporation would incur $586,000 of manufacturing overhead costs. The company ended up using 41,000 direct labor hours during the year. The actual manufacturing overhead costs incurred during the year were $713,400. The company reported the following cost information for job #007: Direct Material cost per unit $10 Direct labor cost per hour $20 Estimated labor hours used 17 Actual labor hours used 18 1) What is the pre-determined overhead rate for the year? (Answer: $14.65/DLH) 2) What is the total manufacturing overhead cost applied to job #007? (Answer: $263.7) 3) Is the company's manufacturing overhead for the year overapplied or underapplied? By how much? (Answer: underapplied by $112,750)

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_2

Step: 3

blur-text-image_3

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

International Accounting

Authors: Radebaugh

4th Edition

0471136646, 9780471136644

More Books

Students also viewed these Accounting questions

Question

Determine the purpose of the Candi- date Fitness Standards.

Answered: 1 week ago