Use the following information for Garrett Company for the next two questions. $ al Estimated manufacturing overhead Estimated labor hours Actual direct labor hours Estimated direct labor cost Actual direct labor cost Factory depreciation 240,000 35.000 36,000 300,000 320,000 67,200 Factory utilities Indirect labor Sales commissions Factory rent Factory property taxes Indirect materials 29,100 23,500 53,700 49,200 28,100 33,000 $ $ s S $ $ S S 23. If the company allocates overhead based on direct labor cost, what is the predetermined manufacturing overhead rate? A. 94% of direct labor cost B. 125% of direct labor cost C. 75% of direct labor cost D. 80% of direct labor cost 24. If the company allocates manufacturing overhead based on direct labor cost, what are the allocated manufacturing overhead costs? A $240,000 B. $256,000 C. $230,100 D. $400,000 sich consists of a batch of identical units, managers find the unit cost by: 26. Clyde Company gathered the following information for the year ended December 31: Direct labor cost incurred for the year Estimated manufacturing overhead costs Estimated direct labor cost Work in process inventory, Dec. 31 Finished goods inventory, Dec. 31 Cost of goods sold Estimated direct labor hours $180,000 $240,000 $200,000 $55,000 $67,500 $141,000 300,000 What would the predetermined manufacturing overhead rate for the year be using direct labor cost as the allocation base? A. 90% of direct labor cost B. 111% of direct labor cost C. 120% of direct labor cost D. 80% of direct labor cost 27. Before the year began, Johnson Manufacturing estimated that manufacturing overhead for the year would be $160,000 and that 12,000 direct labor hours would be worked. Actual results for the year included the following: Actual manufacturing overhead cost Actual direct labor hours $175,000 15,000 If the company allocates manufacturing overhead based on direct labor hours, the manufacturing overhead for the year would have been: A. $15,000 overallocated. B. $15,000 underallocated. C. $25,000 overallocated. D. $25,000 underallocated, 35. Sparrow Manufacturing manufactures small parts and uses an activity-based costing system. Activity Cost allocation rate Materials Assembling Packaging Est. Indirect Activity Allocation base Costs $70,000 Material moves $240,000 Direct labor hours $80,000 # of finished units $2.00/move $8.00/dir, labor hour $0.80/finished unit The following parts were produced in October with the following information: Part B # Produced 2,500 3,500 4,500 Materials Costs $2,500 $7,000 $11,250 #Moves 800 1,500 2,200 Dir. Labor Hrs. 200 300 1,000 Total manufacturing costs for part A is: A. S 7,700. B. S 3,200. C. $5,200. D. $5,700