Pregunta $2$

$5$ puntos

Stanley Company produces specialized safety devices. For the year, manufacturing overhead costs are estimated be $$160,000.$ Estimated machine usage is $40,000$ hours. The company assigns overhead based on machine hours. Job No$.302$ used $2,000$ machine hours.

Compute the predetermined overhead rate, determine the amount of overhead to apply to Job No$.302,$ and prepare the entry to apply overhead to Job No$.302$ on March $31.$

ACTION PLAN

The predetermined overhead rate is estimated annual overhead cost divided by estimated annual operating activity.

Assignment of overhead to jobs is determined by multiplying the actual activity base used by the predetermined overhead rate.

The entry to record the assignment of overhead transfers an amount out of Manufacturing