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Verizox Company uses a job order cost system with manufacturing overhead applied to products based on direct labor hours. At the beginning of the most
Verizox Company uses a job order cost system with manufacturing overhead applied to products based on direct labor hours. At the beginning of the most recent year, the company estimated its manufacturing overhead cost at $176,640. Estimated direct labor cost was $468,480 for 19,200 hours. Actual costs for the most recent month are summarized here: ltem Description Direct labor (1,920 hours) Indirect costs Total Cost S46,849 Indirect labor Indirect materla's Factory rent Factory supervision Factory depreciation Factory janitorial work Factory insurance General and administrative salaries Selling expenses 2,550 3,430 3,260 4,860 5,690 1,170 1,850 4.190 5,450 Required: 1. Calculate the predetermined overhead rate. (Round your answer to 2 decimal places.) Overhead Rate Per DL Hour 2. Calculate the amount of applied manufacturing overhead. lied Manufacturing Overhead 3. Calculate actual manufacturing overhead costs 4. Compute over- or underapplied overhead. (Input the amount as positive value.)
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