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Root Company produces uniforms. The company allocates manufacturing overhead based on the machine hours each job uses. Root Company reports the following cost data for
Root Company produces uniforms. The company allocates manufacturing overhead based on the machine hours each job uses. Root Company reports the following cost data for the past year: Requirement 1. Compute the predetermined manufacturing overhead rate. Enter the formula for predetermined manufacturing overhead rate, then compute the rate. Predetermined overhead rate - Data table Budget Actual Direct labor hours 7,000 hours 6,400 hours Machine. hours. 7,200 hours 6,700 hours $ 21,000 $ 21,000 Depreciation on salespeople's autas. Indirect materials... Depreciation on trucks used to deliver uniforms $ 51,000 $ 52,500 to customers $ 14,000 $ 12,500 $ 73,500 $ 71,000 Depreciation on plant and equipment. Indirect manufacturing labor.. $ 42,500 $ 43,500 Customer service hotline. $ 20,000 Plant utilities $ 19,000 $ 37,100 $ 70,000 $ 39,100 Clear all Check answer Direct labor cost $ 84,500 Root Company produces uniforms. The company allocates manufacturing overhead based on the machine hours each job uses. Root Company reports the following cost data for the past year: Requirements Requirement 1. Compute the pred Enter the formula for predetermine 1. Compute the predetermined manufacturing overhead rate. 2. Calculate the allocated manufacturing overhead for the past year. 3. Compute the underallocated or overallocated manufacturing overhead. How will this underallocated or overallocated manufacturing overhead be disposed of? 4. How can managers use accounting information to help control manufacturing overhead costs? Print Done - Data table Actual Budget 7,000 hours Direct labor hours 6,400 hours Machine. hours. 7,200 hours 6,700 hours $ 21,000 $ 21,000 Depreciation on salespeople's autas Indirect materials... Depreciation on trucks used to deliver uniforms $ 51,000 $ 52,500 to customers $ 14,000 $ 12,500 $ 71,000 Depreciation on plant and equipment. Indirect manufacturing labor.. $ 73,500 $ 43,500 $ 42,500 Customer service hotline. $ 19,000 $ 37,100 $ 20,000 $ 39,100 Plant utilities .. Clear all Check answer Direct labor cost $ 70,000 $ 84,500
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