Question
With the following information answer questions A to D The company produces computers. Its normal costing system consists of 2 cost categories (materials and labor)
With the following information answer questions A to D
The company produces computers. Its normal costing system consists of 2 cost categories (materials and labor) and a manufacturing overhead category. Manufacturing overhead is applied using a direct labor hour rate.
Budgdeted information for january-dec 2020 Direct labor 420,000 Manufacturing overhead 252,000 Direct labor hours 25,200
At the end of 2020, these were the jobs with costs accumulated #one Direct materials 22,000 Direct labor 11,000 Labor machine hour 1,200 #two Direct materials 42,000 Direct labor 39,000 Labor machine hours 2,400
Total current costs for 2020 were Manufactory overhead 250,000 Direct labor 400,000 Total labor hours during 2020 were 24,000
Determine Manufactory Overhead rate application: A Make journal entry for manufactury overhead application in 2020: B Is it overapplied or underapplied? Please demonstrate under a T account. C Calculate the total cost for order # 1 D
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started