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Rottweiler Company applies overhead based on direct labor hours. At the beginning of the year, Rottweiler estimates overhead to be $620,000, machine hours to be
Rottweiler Company applies overhead based on direct labor hours. At the beginning of the year, Rottweiler estimates overhead to be $620,000, machine hours to be 180,000, and direct labor hours to be 40,000. During February, Rottweiler has 4,200 direct labor hours and 8,000 machine hours.
What is the predetermined overhead rate? (2 points)
What is the amount of overhead applied? (2 points)
Was overhead underapplied or overapplied? (1 point)
By how much? (1 point)
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