The cost accountant for Kenner Beverage Co estimated that total factory overhead cost for the Blending Department for the coming fiscal year beginning May 1 would be $210,000, and total direct labor costs would be $150,000 During May, the actual direct labor cost totaled $12,000, and factory overhead cost incurred totaled $17,100 Required a What is the predetermined factory overhead rate based on direct labor cost b Journalize the entry to apply factory overhead to production for May 31 Refer to the Chart of Accounts for exact wording of account titles c What is the May 31 balance of the account Factory Overhead Blending Department d Does the balance in part (c) represent over or underapplied factory overhead CHART OF ACCOUNTSKenner Beverage Co General Ledger ASSETS 110 Cash 121 Accounts Receivable 125 Notes Receivable 126 Interest Receivable 131 Materials 141 Work in Process Blending 142 Work in Process Filling 151 Factory Overhead Blending 152 Factory Overhead Filling 161 Finished Goods 171 Supplies 172 Prepaid Insurance 173 Prepaid Expenses 181 Land 191 Factory 192 Accumulated Depreciation Factory LIABILITIES 210 Accounts Payable 221 Utilities Payable 231 Notes Payable 236 Interest Payable 251 Wages Payable EQUITY 311 Common Stock 340 Retained Earnings 351 Dividends 390 Income Summary REVENUE 410 Sales 610 Interest Revenue EXPENSES 510 Cost of Goods Sold 520 Wages Expense 531 Selling Expenses 532 Insurance Expense 533 Utilities Expense 534 Supplies Expense 540 Administrative Expenses 561 Depreciation Expense Factory 590 Miscellaneous Expense 710 Interest Expense a What is the predetermined factory overhead rate based on direct labor cost b Journalize the entry to apply factory overhead to production for May 31 Refer to the Chart of Accounts for exact wording of account titles PAGE 10 JOURNAL DATE DESCRIPTION POST REF DEBIT CREDIT 1 2 c What is the May 31 balance of the account Factory Overhead Blending Department Amount Debit or credit d Does the balance in part (C) represent over or underapplied factory overhead

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The cost accountant for Kenner Beverage Co. estimated that total factory overhead cost for the Blending Department for the coming fiscal year beginning May 1

The cost accountant for Kenner Beverage Co. estimated that total factory overhead cost for the Blending Department for the coming fiscal year beginning May 1 would be $210,000, and total direct labor costs would be $150,000. During May, the actual direct labor cost totaled $12,000, and factory overhead cost incurred totaled $17,100.

Required:

a.	What is the predetermined factory overhead rate based on direct labor cost?
b.	Journalize the entry to apply factory overhead to production for May 31. Refer to the Chart of Accounts for exact wording of account titles.
c.	What is the May 31 balance of the account Factory Overhead-Blending Department?
d.	Does the balance in part (c) represent over- or underapplied factory overhead?

CHART OF ACCOUNTSKenner Beverage Co.General Ledger

	ASSETS
110	Cash
121	Accounts Receivable
125	Notes Receivable
126	Interest Receivable
131	Materials
141	Work in Process-Blending
142	Work in Process-Filling
151	Factory Overhead-Blending
152	Factory Overhead-Filling
161	Finished Goods
171	Supplies
172	Prepaid Insurance
173	Prepaid Expenses
181	Land
191	Factory
192	Accumulated Depreciation-Factory

	LIABILITIES
210	Accounts Payable
221	Utilities Payable
231	Notes Payable
236	Interest Payable
251	Wages Payable

	EQUITY
311	Common Stock
340	Retained Earnings
351	Dividends
390	Income Summary

	REVENUE
410	Sales
610	Interest Revenue

	EXPENSES
510	Cost of Goods Sold
520	Wages Expense
531	Selling Expenses
532	Insurance Expense
533	Utilities Expense
534	Supplies Expense
540	Administrative Expenses
561	Depreciation Expense-Factory
590	Miscellaneous Expense
710	Interest Expense