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The standard time allowed to complete one unit of product is 3.6 machine-hours. 1. The total amount of factory overhead cost applied to Work in
The standard time allowed to complete one unit of product is 3.6 machine-hours. 1. The total amount of factory overhead cost applied to Work in Process during November was
2. The total predetermined overhead rate per machine-hour for November was
The Chase Company uses a standard cost system in which manufacturing overhead costs are applied to products on a basis of machine-hours. For November, the company's flexible budget for manufacturing overhead showed the following total budgeted costs at the budgeted activity level of 40,000 machine-hours: $36,000 Variable overhead costs (total): Maintenance Utilities Fixed overhead costs (total); Supervision Depreciation $20,000 $24,000 $16,000 During November 42,000 machine-hours were used to complete 13,200 units of product with the following actual overhead costs: Variable overhead costs (total): Maintenance $43,420 Utilities $32,510 Fixed overhead costs (total): Supervision $26,970 Depreciation $16,000Step by Step Solution
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