Question
Your Company uses a predetermined overhead rate based on direct labor hours . The POR is $10 per direct labor hour. Use the following information
Your Company uses a predetermined overhead rate based on direct labor hours. The POR is $10 per direct labor hour. Use the following information to determine by how much the manufacturing overhead cost for the current year will be over or under applied.
|
| Direct labor-hours: |
|
|
| Estimated for the year | 24,000 |
|
| Actual hours worked | 24,750 |
|
| Direct labor cost: |
|
|
| Estimated for the year | $300,000 |
|
| Actual cost incurred | $210,000 |
|
| Manufacturing overhead: |
|
|
| Estimated for the year | $240,000 |
|
| Actual cost incurred | $245,000 |
The manufacturing overhead cost for the current year will be:
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
AML Auditing Understanding Currency Transaction Reports What Every AML KYC Auditor Should Know
Authors: Bob Walsh
1st Edition
153952731X, 978-1539527312
