Question
The Work in Process Inventory account of a manufacturing company that uses an overhead rate based on direct labor cost has a $12,960 debit balance
The Work in Process Inventory account of a manufacturing company that uses an overhead rate based on direct labor cost has a $12,960 debit balance after all posting is completed. The cost sheet of the one job still in process shows direct material cost of $4,000 and direct labor cost of $2,800. Therefore, the company's overhead application rate is:
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Food And Beverage Cost Control
Authors: Jack E. Miller, Lea R. Dopson, David K. Hayes
3rd Edition
0471273546, 978-0471273547
