Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Townley Inc. has provided the following data for the month of February. There were no beginning inventories consequently, the direct materials (DM), direct labor

image text in transcribed

Townley Inc. has provided the following data for the month of February. There were no beginning inventories consequently, the direct materials (DM), direct labor (DL), and manufacturing overhead applied (MOH) listed are all for February: WIP CGS $19,200 $ 35,280 FG DM DL $ 7,570 $ 8,810 $24,000 $ 44,100 $ 8,320 $24,700 $15,600 $ 28,000 $58,800 $107,460 MOH Total Manufacturing overhead for the month was overapplied by $6585. The company allocates any under applied or overapplied overhead to Work-in-Process, Finished Goods, and Cost of Goods Sold at the end of the month on the basis of the overhead applied during the month in those accounts. What is the rate Townley should use to adjust the original overhead assignment that resulted in the overapplied overhead? (Round your answer to the nearest $0.001, use positive numbers only).

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Fundamental Accounting Principles Volume II

Authors: Larson Kermit, Jensen Tilly

14th Canadian Edition

71051570, 0-07-105150-3, 978-0071051576, 978-0-07-10515, 978-1259066511

More Books

Students also viewed these Accounting questions

Question

What is goal congruence?

Answered: 1 week ago